60,000 sq ft Michigan warehouse to become home to co-op hashing center

bitcoin mining

The HRP hashing center, ready to host miners.

If all goes according to plan, a giant warehouse in Michigan may soon become one of the largest bitcoin hashing centers in the U.S. Mining startup Hash Rack Power (HRP) announced yesterday that it will be converting the 60,000 sq ft space (location undisclosed, but likely in the outskirts of Detroit) to a “co-op style hosting center” for bitcoin miners. The location is already equipped to handle 2.7 megawatts of power, and the group claims that this could easily be increased to 8.7 MW should the need arise.

For those willing to take the plunge, the space does seemingly offer some interesting amenities:

Service elements will be in place, such as high security, monitoring, carrier grande Internet, climate control, live remote hands by experienced IT personnel 7/24 service and the whole 60,000 of space covered with high powered industrial air conditioning and air balancing equipment power that will be ducted to the mining equipment.

Those services are nice, but the project will live or die by the price of electricity. Michigan has a huge power infrastructure from the state’s days as an industrial center, and at the moment power is relatively inexpensive there.

HRP is currently pricing power for co-op members at $60 for 500kW per month, but said in the press release that lower rates could be negotiated if participation was high enough.

Early members of the co-op will receive shares in the company, allowing the organization to eventually transition to a for-profit model once the infrastructure is in place. Should the location prove profitable, HRP noted that the property has significant acreage for future growth, and that similar warehouse spaces are readily available in the area.

Written on 04 Sep 2014.