BRADFORD, Pa. — A bitcoin crypto mining operation has been established in Bradford, using local natural gas to generate the electrical power needed for up to 1,000 computers churning in the digital mining process.

DMint Inc., a wholly-owned subsidiary of OLB, said this week that it has expanded its bitcoin mining operation with the addition of 500 Antminer S19j Pro cryptocurrency mining computers at its Bradford location.

DMint anticipates having a total of 1,000 computers in operation in Bradford by the end of 2021 and projects to reach 24,000 bitcoin mining computers — in various locations — in the next 24 months.

A DMint executive, Bessie Cai, explained that the operation is located off of Interstate Parkway.

“The 1,000 mining computers will consume about 5 megawatts of electricity,” Cai said. “We will be utilizing local natural gas resources to power our onsite generators. This means our site will not be connected to the local power grid; our activities will have no effect on local power consumption or utility costs.

“Additionally, because we will be generating our own power, we will be protected from potential outages.”

OLB said in August that it had signed an agreement to purchase natural gas from wells in Bradford through Cai Energy Blockchain.

The release noted that the environmental impact footprint of the cryptocurrency mining will be close to zero as the natural gas will be taken directly from the well heads to generate electricity.

When asked, Cai said that although operations are scaling up rapidly, there are not necessarily any plans for expansion beyond the 1,000-computer goal.

She did note that the location does have the potential to “easily be expanded to 30MW to power another 5,000 mining computers.”

With DMint’s overall goal of 24,000 computers in the Pennsylvania and New York region within 24 months, there are a few locations under consideration for future expansion.

“We believe our operation will be bringing jobs and enhancing the local economy tremendously,” Cai said.

The mining hashrate is a security metric, with greater security and resistance to a cyber attack with a higher hashing power.

The hashing power is determined by estimating the number of blocks mined in the previous 24-hour period and taking into account the block difficulty.

With those 24,000 computers, the company hopes to to build out capacity to achieve 2.4 exahash per second. One exahash is one quintillion — a one followed by 18 zeros — hashes per second.

According to Blockchain.com, the current average rate is 150.4 terahashes. One method of cryptocurrency authentication, called “proof of work” mining, assigns a complex mathematical equation to each transaction that users within the currency compete with each other to solve.

This process requires significant amounts of computational power and has led to “miners” using thousands of computers, which operate 24 hours a day.

The first computer to find the solution to the problem is awarded the next block of bitcoins.

Once at full capacity — assuming current market price and mining network size — DMint expects to mine 18.5 bitcoins per month, generating $1.1 million in monthly revenue with the 1,000 computers at the Bradford location.

“The addition of 500 state-of-the-art Antminer S19j Pro computers is a major step towards scaling our Bitcoin Mining operation,” said Ronny Yakov, chairman and CEO of the OLB Group. “The positive price movement since the start of our mining operations makes us even more optimistic about the long term viability of our operations.

“We remain fully committed to scaling our operations to 24,000 computers by the fall of 2023.”

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