Low-Cost Energy Plan Could Deter Miners from Hacking

There’s been an uptick in crypto miners hacking others’ computers systems in their quest to create the currencies, which require the use of massive amounts of energy. Japan has a low-cost energy plan that could deter the bad behavior.

Crypto enthusiasts know that being able to have adequate energy resources is key to miners being able to do what they do best – create cryptos, like Bitcoin.

So important to their efforts is energy that there seems to have been an uptick in the willingness of miners to do anything to carry out their tasks. This includes hacking into the computer systems of major corporations.

Well, Japan has recognized this and one of its major power providers has a solution. Looop Co. Ltd., a renewable energy provider, has announced an electricity plan that addresses high energy costs. The plan is specifically targeted at Bitcoin and other cryptocurrency miners.

Desperate miners?

There have been a slew of instances in which miners have hacked into the systems of corporations for the sole purpose of stealing their energy capacities. The most recent occurred over the weekend when hackers reportedly made their way into Amazon’s cloud services, which are formally known as AWS.

Mining Bitcoin and other cryptos requires a significant amount of energy resources, and it typically can’t be done with traditional computer services.

Miners often set up groups of computers to mine coins, literally, 24 hours a day. These miners must solve complex math equations to create these cryptos. Those new coins are returned to the miners in the form of rewards, and in many cases, the payout is lucrative beyond one’s wildest dreams.

The drive to earn these rewards is at the heart of miners’ willingness to hack into larger computer systems that can handle their needs. Essentially, miners are using others’ computers to manage the high amounts of energy to create the coins.

To do this, they can simply install mining software on the computers of others by using malware.

Looop keeps miners from becoming criminals

Looop understands that the electricity costs of mining coins can be horrifically high, pushing law abiding people to engage in these types of illegal hacking activities.

Its solution is an electricity plan that charges a flat, monthly fee for electricity usage of up to a certain level. The plan is for the Tokyo Electric Power Company service area. It’s called the “Mining Flat” rate plan. Applications are being accepted now.

Customers also have the option of contract plans for a fixed-monthly price of 6,170 yen. They can also sign up for multiple contracts, according to Bitcoin New. 

Their monthly rate is aimed to be competitive. It’s reported that Looop’s monthly rate is estimated to be less than 16.9% than what Tokyo Electric Power Company charges for similar services.

Japan embraces cryptos

The willingness of Looop to offer these more affordable plans reflects Japan’s overall, and increasing, acceptance of the crypto space.

In addition to the mining activities, the country is seeing an uptick in the use of cryptos by consumers paying their bills, including paying for electricity. For example, it’s reported that Remixpoint, which owns the Bitpoint exchange, now allows customers to pay for their electricity services with Bitcoin.