Controversy remains regarding the proper zoning and operation of a Bitcoin mining operation in Winnebago County.
The Winnebago County Board of Supervisors were made aware of an issue regarding bitcoin mining that is taking place in Winnebago County. Bitcoin mining is when internet users known as miners validate information in a blockchain block by generating a simple or complex cryptographic solution that matches certain criteria. When the miner comes up with the correct solution first, a bitcoin reward and fees for the work done is given.
In order to accomplish the mining online, computers operate at a higher rate in processing data. Because the process is so intense, heat from the computers must be vented out of the building that is used.
The board called on Matt Duve who is the Zoning Administrator for the county. He had to investigate what Simple Mining LLC was doing on an apparent agricultural zoned parcel.
Supervisor Terry Durby explained how the zoning for the parcel is arrived at.
Concerns were raised by a neighbor farmer who rents his land that the heat from the operation was harming his corn crop. He argued that the board should do something because he was under the impression that the land was zoned agricultural.
In reality, the operation is on the same parcel as a power station and according to Winnebago County Auditor Karla Weiss, the county cannot control what takes place there.
Because Heartland Power pays taxes directly to the state, the county receives a percentage of it. This is due to the way it is zoned. Supervisor Bill Jensvold posed a question on the whole process.
The bitcoin mining operation continues under the purview that it is on a zoned commercial utility parcel.
