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Canada-based blockchain and crypto company DMG Blockchain Solutions has energized most of its 85 megawatt crypto mining facility in British Columbia. <p dir="ltr">Canadian blockchain and <a href="https://cointelegraph.com/tags/cryptocurrencies">cryptocurrency</a> company DMG Blockchain Solutions Inc. has energized its new crypto mining facility, according to an announcement <a href="http://globenewswire.com/news-release/2018/11/08/1647986/0/en/DMG-Blockchain-s-85-Megawatt-Crypto-Mining-Facility-Now-Operational.html" rel="nofollow,noopener" target="_blank">published</a> Nov. 8. DMG states that the facility will start at 60 megawatts, and can expand its capacity up to 85 megawatts.</p><p dir="ltr">DMG Blockchain Solutions initially <a href="https://cointelegraph.com/news/canada-s-dmg-blockchain-starts-installing-85-mw-substation-for-crypto-mining-expansion">revealed</a> its plans to launch the station in July, stating that their crypto mining operation will be implemented on an industrial scale with direct support from the local <a href="https://cointelegraph.com/tags/government">government</a> and <a href="https://cointelegraph.com/tags/energy">electricity</a> providers. The station will purportedly increase DMG’s hosting capability by more than 20 times.</p><p dir="ltr">Per the recent statement, the 27,000 square foot crypto mining-as-a-service (MaaS) operation occupies an area of 34 acres and is one of the biggest such operations in North America. Since the facility uses hydroelectric power — of which there is a surplus in Canada — the operation will reportedly not affect power needs of local residents.</p><p dir="ltr">Independence from the local community grid is crucial for the project’s success, as DMG’s new 85 megawatt facility requires the same amount of electricity needed to power 50,000 homes. Dave Evdokimoff, CEO of local electrical products and services company Boundary Electric, said that “in Boundary Electric’s 71 years of business, we have never seen a demand in the electrical manufacturing industry quite like what is being generated from the crypto space.”</p><p dir="ltr">Due to an abundance of hydroelectricity and low power costs, <a href="https://cointelegraph.com/tags/canada">Canada</a> has become an attractve location for cryptocurrency <a href="https://cointelegraph.com/tags/mining">mining</a>. In June, major Canadian electricity provider Hydro-Québec <a href="https://cointelegraph.com/news/under-new-rules-quebec-crypto-miners-will-be-required-to-bid-for-electricity">proposed</a> new rules, under which <a href="https://cointelegraph.com/tags/blockchain">blockchain</a> companies will be required to bid for electricity and quantify the jobs and investment they expect to generate per megawatt.</p><p dir="ltr">With that move, Hydro-Québec seeks to allocate up to 500 megawatts, in addition to 120 megawatts of already existing initiatives. The power supplier purportedly received requests to purchase power from more than 100 organizations with a total energy consumption exceeding 10 terawatt hours.</p><p dir="ltr">The <a href="https://cointelegraph.com/tags/usa">U.S.</a> state of <a href="https://cointelegraph.com/tags/new-york">New York</a> is also flush with hydropower, as earlier this summer state regulators <a href="https://cointelegraph.com/news/new-york-state-regulators-approve-new-power-rate-structure-for-crypto-miners">approved</a> a new electricity rate scheme for crypto miners that will allow them to negotiate contracts. The Massena municipal utility will consider contracts on a case-by-case basis, which will protect other utility customers from increased rates.</p><p dir="ltr">Residential consumers in Massena pay an energy charge of about $0.039 per kilowatt hour, where the national average residential rate is $0.13 per kilowatt hour. This made the state a destination for crypto miners, who use powerful specialized computers for the energy-intensive activity.