YATES COUNTY, NY — A court battle is underway that will decide the fate of a Bitcoin mining facility in Yates County.

Greenidge Generation LLC has been mining cryptocurrency at its power plant on the shores of Seneca Lake since 2019, but the state ordered it to close in 2022. The company continued operations while it appealed the decision before the judicial system.

Tuesday’s closing arguments concern Greenidge’s last-ditch legal efforts. In case of defeat, the doors will close at the end of the month.

Good question: How does cryptomining affect the environment?

To “mine” cryptocurrencies, you need a very powerful computer and a lot of power to run complex programs. Greenidge got its electricity from a former coal-fired power plant that the company had converted to run on natural gas. It then uses this gas to power all the computers inside, thus obtaining this digital currency.

The installation and all the energy it uses is the sticking point in this matter. The company uses the lake to cool computers, which warms the lake. Natural gas is also a fossil fuel, of which they are burning a lot right now.

Greenidge lost the battle for his air license and the DEC asked him to close his doors, but it won’t happen without a fight. Tuesday, the fight is over an injunction to buy time.

Supporters say this is an innovation and we should welcome it to the Finger Lakes. The Yates County Legislature signed on because it created 45 good-paying jobs in the area. Opponents emphasize the environmental impact and that the mined currency is unlikely to stay in Yates County.

Bitcoin and cryptocurrency work like any other dollar, but they are not accepted in most physical countries. Most people view cryptocurrency as an investment because it is unstable compared to other currencies, meaning its value can rise quickly. However, some major online spaces like Amazon, Microsoft and PayPal accept it. You can even use it at Burger King.

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