According to an official announcement on December 28, a severe winter storm in North America closed down Binance's cloud mining products from December 24-26. As a result of the power outage, the company confirmed that users' subscriptions to cloud mining products would be extended for three days.
Binance has stated that additional outages caused by weather conditions will extend the period of cloud mining subscriptions.
The exchange's cloud mining service, which was initiated nearly a month ago, enables consumers without mining equipment to earn mining rewards from Binance Pool. Subscriptions are required to purchase hash rates and Bitcoin mining on the platform’s cloud.
A "bomb cyclone" unleashed extreme temperatures across the United States in the days leading up to Christmas, knocking out power.
As a result, the Texas miners' decision has slowed Bitcoin transactions worldwide by 30%. Texas, New York, Kentucky, and Georgia are among the top states in the United States for Bitcoin mining that has been affected by the bomb cyclone.
Severe weather conditions prompted Bitcoin miners to voluntarily reduce their operations in order to return power to the grid, allowing residents to keep their homes warm. Disruptions have had an effect on Bitcoin's hash rate, which fell to 170.60 Exahashes per second (EH/s) on December 25 from a more typical rate of around 225-300 Eh/s.
Since the collapse of FTX, Binance has been accompanied by fear, uncertainty, and doubt (FUD), culminating in billions of dollars in withdrawals. While battling rumors, the crypto exchange has worked to diversify its business model.
Binance Labs, the company's venture capital arm, announced last month that it has been involved in Belgian hardware wallet company Ngrave which will result in its Series A funding round.
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