Facilities considered
detrimental to
county’s way of life
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Jared Putnam • Cherokee Scout The crypto mining facility on Harshaw Road, just outside of Murphy. Another one is located in the Ranger community of Cherokee County.
By Becky Long
Publisher
On Thursday, Aug. 4, after a public hearing, the Clay County Commission board unanimously approved an ordinance that prevents commercial cryptocurrency mining facilities from opening and/or operating in Clay County.
Karen Hurtubise was among members of the public who spoke in support of the ordinance during the public comment period. She thanked commissioners for being proactive in their response to crypto mining operations here.
“I’m amazed,” said Hurtubise. “I really thought this was going to be one of those battles where I was on the losing side. I’m just so happy. Crypto mining is the wild west, but it looks like we got this done.”
No objections to the ordinance were voiced during the hearing.
Drafting the ordinance was a bold step that began earlier this year, but it was not one that was taken lightly.
Commissioner Randy Nichols explained that he is not a fan of telling people what to do on their own land, but in this case something needed to be done.
“It’s been a long-drawn-out process,” said Nichols. “Sometimes the wheels of government turn slow, but we will get it done.”
“It’s just good common sense,” CommissionER Clay Logan said.
Clay County officials have been monitoring the problems neighboring Cherokee County is experiencing with its two commercial cryptycurrency mining facilities. Constant noise from the facilities, massive electricity usage and how to dispose of its waste are among ongoing concerns there.
Through the local ordinance, commissioners, county planning board members and attorney Merinda Woody took measures to protect the county’s character and environment while attempting to sew up loopholes in the process.
The ordinance prevents commercial facilities from being installed or operated here, but smaller residential cryptocurrency mining is not prohibited in the moratorium.
The ordinance defines residential as “private citizens who have computers from which they mine cryptocurrency for their own private use and not commercially be allowed to continue their mining within their own homes.”
These are small privately owned operations that do not require a building permit, an electrical permit or any other permit required by the N.C. Building Code.
One resident who was familiar with a residential cryptocurrency miner, was concerned that private cryptocurrency mining could expand under the radar. Building inspector Anthony Stillwell said Blue Ridge Mountain EMC will not go above 400 amps residential and switching from 200 to 400 amps of power has to be approved by the county which would require a permit and thus be banned, according to the ordinance.
In February, county commissioners adopted a temporary moratorium that halted any commercial crypto mining facilities through August of this year. The pause provided an opportunity for additional research into the overall impacts of commercial cryptocurrency mining facilities. Through the lens of land use planning, the team assigned to research commercial crypto mining attempted to answer questions regarding how it could change the character of the county and the quality of life.
Ultimately, the conclusion was that a commercial cryptocurrency mining facility was not in the best interest of the county and could have long-term effects.
According the ordinance, “The process requires major amount of power. Computers are the size of space heaters and they act like space heaters throwing out wave after wave of warm air while churning algorithms 24 houRS a day, seven days a week. Further, there is danger of overheating and possible fires. Due to the excessive energy needs that the cryptocurrency mining industry and its facilities require in their operation, Clay County currently lacks the infrastructure to accommodate a business such as the industry of cryptocurrency mining facilities and cryptocurrency mining farms.”
In addition, the ordinance states, “Regarding environmental impacts, the board found that cryptocurrency mining contributes to climate change, noise pollution, environmental devastation, immense quantities of energy used including, but not limited to electrical energy.”
The ordinance defines commercial crypto mining as a process in which networks of high-powered computers work to verify transaction of currencies like Bitcoin and Ethereum. It is called “mining” because the user who first solves a complicated formula that verifies the transaction will receive a set amount of currency.
The moratorium covers the county, but the city limits are not in its jurisdiction. Hayesville Mayor Joe Slaton indicated the city will likely adopt a moratorium of its own.