Fort Worth Mining Bitcoin and Making History in the Process

Fort Worth Mining Bitcoin Mayor Mattie Parker

Fort Worth, Texas, is mining Bitcoin. Mayor Mattie Parker puts Fort Worth on the map as the first city in the United States to mine Bitcoin.

Mayor Parker also oversaw the installation of the small mining farm in City Hall herself.

Fort Worth City Hall’s climate-controlled information technology wing will house three Bitmain Antminer S9 mining machines.

To reduce security risks, the city claims the miners will be on a private network.

While many spread FUD (fear, uncertainty, and doubt) and false narratives about Bitcoin mining and its energy use, Texas is becoming a Bitcoin mecca.

Parker, the city’s first millennial mayor, believes that embracing Bitcoin can put Fort Worth on the map.

Bitcoin operates using a proof-of-work mining protocol, which means that miners use high-powered computers to concurrently construct and validate transactions.

Professional-grade equipment, technological know-how, and a lot of electricity are required. That’s why Fort Worth’s trial experiment is small to begin, says the mayor.

According to official estimates, each of the program’s three machines uses the same amount of energy as a vacuum cleaner.

The mayor expects the three miners to be profitable, but the cost of power will be compensated by the value of Bitcoin produced.

“For Fort Worth, a lot of people don’t know who we are,” Parker told CNBC. “We want to change that conversation, and we believe that tech innovation including Bitcoin is the way we’re going to do that.”

Even in a Bitcoin-friendly state like Texas, a three-rig mine means jumping through a few bureaucratic hoops.

“This is something brand new for any city,” said Parker. “There’s a lot of policy here that we’ve had to jump through hoops to understand.”

“We think Bitcoin is a huge part of our future economy,” said Mayor Parker.

The Texas Blockchain Council contributed the three mining rigs (each worth around $600) and Luxor Technologies, a mining pool that allows a single miner to pool their hashing power with thousands of other miners worldwide to boost their chances of winning bitcoin.

Parker got the idea to break into Bitcoin after talking to people in the VC business who informed her that 80% of venture money is spent on tech right now, and Bitcoin is at the core of that.

“We’re the fastest growing city in the country. There’s so much excitement around North Texas and Fort Worth, in particular. To really keep that energy going, we have to push ourselves differently, and we think Bitcoin is a huge part of our future economy,” said Parker.

Fort Worth will reassess in six months and determine whether to invest in a larger mining operation.

Luxor’s VP of business development, Alex Brammer, thinks the move will add to further legitimize Bitcoin as a strategic asset.

“Mayor Parker is setting an example and effectively de-risking both Bitcoin mining and Bitcoin treasury strategies for every other mayor in the country, and I wouldn’t be surprised to see more announcements like this coming in the future,” said Brammer.

The prospect of governments using Bitcoin mining to help stabilize grids during the transition to clean energy was also mentioned.

“In the future, it is likely that Bitcoin mines will sit alongside industrial-scale battery storage to provide grid-firming services that prevent blackouts and other interruptions to the grid caused by the addition of intermittent wind and solar generation. In this context, it would make sense for cities to start to fund and build large-scale mining infrastructure themselves.”

Local bitcoin miner and Texas Blockchain Council President Lee Bratcher is likewise excited about Fort Worth.

“Fort Worth has the geographic proximity to miners and a supportive city leadership that make it a front runner to be the bitcoin mining capital of Texas and therefore the U.S.,” said Bratcher.

For now, the endeavor isn’t about making money or fixing Texas’ electricity infrastructure.

Instead, it’s about normalizing the concept of a local government mining Bitcoin and adding it to the balance sheet.

“This is outside the box for any government, right? Usually things move at a snail’s pace. And in Fort Worth, we want to do things differently and kind of elbow our way into the room,” the mayor said.

Ft. Worth makes Bitcoin history, becoming the first city in the United States to mine Bitcoin. Be sure to check out this afternoon’s Spaces interview with Mayor Mattie and Dennis Porter below.

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