LITTLE ROCK, Ark. (KATV) – Vilonia, Arkansas, residents and members of the local government are opposed to plans for a bitcoin mining business.
Vilonia’s residents concur that a Chinese Bitcoin mining operation could look out of place in a rural, tiny town in Arkansas.
During the town council meeting on Tuesday night, several locals were granted time on the schedule to express their opposition to the construction of a crypto-mining plant inside municipal borders, less than a mile from residential neighbourhoods.
Gladys Anderson’s circumstance brings to light the issue of closeness to mining operations.
In Bono, Arkansas, a crypto mine was built just next door to Anderson’s house. Anderson and her son, who has autism and is sensitive to sensory stimuli, are tormented by the facility’s enormously powerful computers’ persistent, intolerably loud drone.
She said « It’s caused a lot of headaches…I’ve been to the doctor over headaches. My son is currently in the backyard having a meltdown. »
According to Anderson, the mine has had three site managers in the few short months that it has been next door.
They won’t be telling you the truth, they say. They won’t follow through on their promises, she claimed.
Anderson claimed that she felt duped after first believing, like other people, that the crypto-mining plant would make just a little amount of noise. The Bono site’s owner and operator, Green Digital LLC, promised to add acoustic barriers. The firm also aims to build a similar location in Vilonia. The wait, according to Anderson, has lasted months.
Simply described, a crypto mine is a sizable collection of powerful computers used to create digital money. Green Digital LLC deploys them close to power substations because of the enormous quantity of energy they need.
Vilonia’s main worry is the high local electricity consumption.
« It was discussed in a planning meeting that they were going to be using the equivalent of 30 schools worth of power. And one of the questions posed was: ‘what happens if another investor wants to come to our city and our power grid needs to be upgraded because of the massive amount of energy this thing is using. »
Mike Matos
According to opencorporates.com, Green Digital LLC’s director and/or officer is Mr. Gang Hu, who is listed as a manager among other jobs. The CEO of the multibillion dollar real estate firm Greenland USA, a division of the Chinese real estate developer Greenland Holding Group with connections to the Chinese government, Gang Hu, appears to be the same Gang Hu.
Preston Scroggins, the mayor of Vilonia, disapproves of it completely.
« I think foreign ownership of farmland and stuff is…at least the federal government and I understand the state government did something good, they passed a bill banning that. I wish we could do more here in our country. »
Preston Scroggins
The planning committee is currently deliberating whether to allow the crypto mine to call Vilonia home.
Around Arkansas, there are several new cryptocurrency mining operations, many of which are operated by Green Digital LLC. Many people in the locations hosting the activities don’t warmly welcome their abrupt arrival.
The recent introduction of these mines in Arkansas may be attributable to House Bill 1799, which aims to control « digital asset mining » in the state and reduce regulations on the industry by equating mining operations with data centres.
The bill seeks to « clarify the guidelines needed to protect data asset miners from discriminatory industry specific regulations and taxes, » and claims that « data centers create jobs, pay taxes, and provide general economic value to local communities and this state. »
The measure lays forth guidelines for both miners and municipal governments, severely restricting what they may do.
From the bill, the following is taken:
The local government must not:
- Enact or approve a law, rule, or other measure that places restrictions on the sound levels produced by home digital asset mining in addition to the thresholds established for other types of noise pollution;
- Impose requirements unique to a data centre that are not relevant to a corporation engaged in mining digital assets;
- Rezone a location where a mining operation for digital assets is situated without adhering to relevant state legislation and municipal zoning regulations; or
- Rezone a location so as to discriminate against a company engaged in mining digital assets.
In accordance with any relevant state legislation or municipal zoning regulation, a company engaged in the mining of digital assets may contest a local government’s decision to modify the zoning of a particular location.
The Arkansas Public Service Commission must not set an unreasonable rate for a customer in the digital asset mining industry if it is not in violation of relevant state and federal legislation, orders, rules, and regulations, including without limitation 23-3-114 and 23-4-103.
