Lancium, a data center company and MP2 Energy announced on June 19 that they had achieved the first successful load-only Controllable Load Resource (CLR) designation by the Electric Reliability Council of Texas (ERCOT).
The designation has been around since 2014. However, it is the first designation by ERCOT for a load only without any power generation. Power consumption is the biggest cost that crypto mining firms and data centers face. By achieving energy optimization, it could help them cut costs significantly.
A Solution to High Energy Consumption
Crypto mining and high throughput data processing is an energy-intensive process and the demand for energy is growing globally. The solution created by MP2 Energy and Lancium lets customers reduce their power consumption and send excess energy to the grid when the cost of power is the highest. During times of low price, they can continue consuming power. With the solution, crypto mining firms and data centers will have an extra source of income by offering ancillary services to ERCOT. Besides that, it will allow them to respond to instructions from ERCOT in seconds while offering Primary Frequency Response for grid stabilization.
When combined, these solutions could help mining firms and data centers cut down their power costs by over 50 percent. The CEO of MP2, David Black, said that by working with Lancium, they recognized the value of their solution. He added that combined with their capabilities, it would place them at the forefront of evolving the grid to cut costs for their customers.
He noted that the increased use of renewable energy had led to more volatility in the energy supplied to the grid. With their product, it would help to stabilize the grid effectively. He added that it would enable them to reach new customers and position them as a leader in the demand response sector throughout the US.
They were able to achieve CLR designation using the Smart Response software created by Lancium that is covered by pending and existing patents. The CLR designation was achieved at the Compute North Data Center located in Big Spring, Texas. Compute North is a leader in large-scale data infrastructure for the crypto mining sector and the wide high throughput computing sector.
About Lancium
Lancium is a tech company that creates technical solutions and software for faster growth in the adoption of renewable power. They have created solutions for server power management, high throughput computing applications, and the absorption of excess renewable energy. Their goal is to ensure that renewable energy powers the future.
The High Energy Consumption Problem is Crypto Mining
A major cost faced by crypto mining firms is the cost of power. As mining rigs continue to evolve, the cost will continue going up. To deal with the problem, some mining firms have moved to countries such as Iran with low electricity costs. However, the solution developed by Lancium and MP2 energy could help to ensure that mining firms can continue to operate in places such as North America with high energy costs.
Image Source: Pixabay
Notice: Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. The information has been obtained from sources we believe to be reliable; however no guarantee is made or implied with respect to its accuracy, timeliness, or completeness. Authors may own the crypto currency they discuss. The information and content are subject to change without notice. Visionary Financial and its affiliates do not provide investment, tax, legal or accounting advice. This material has been prepared for informational purposes only and is the opinion of the author, and is not intended to provide, and should not be relied on for, investment, tax, legal, accounting advice. You should consult your own investment, tax, legal and accounting advisors before engaging in any transaction. All content published by Visionary Financial is not an endorsement whatsoever. Visionary Financial was not compensated to submit this article Please also visit our Privacy policy; disclaimer; and terms and conditions page for further information.
