Jack Dorsey Ventures Into Bitcoin Mining

Jack Dorsey Ventures Into Bitcoin Mining

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Making an important announcement, the Chief Executive Officer of Twitter, Jack Dorsey, announced that he has started Bitcoin mining with the help of a third-party service provider. The services offered by the intermediary are helping Dorsey run the mining operations successfully and securely. 

Revealing the information through a tweet, Dorsey said that he is availing of the services of a startup called Compass Mining. This new enterprise is helping to democratize the mining operation of Bitcoin, which is otherwise primarily held by data centers of very large size. These centers have dominance in the field of Bitcoin mining as the majority of cryptocurrency mining takes place through these large centers. Bitcoin mining requires large computing capacities. Hence, it is often outside the scope of small companies or startups to foray into the segment and become part of the mining ecosystem. 

It is important to note that Jack has not divulged much information and provided rather sketchy details in this matter. It is unusual that the CEO has chosen this startup as his service route. This is because, given his wealth, he could have chosen to establish his own small experimental mining company.

Of late, Compass Mining has grown in popularity quite significantly. Its client base has grown, with many leading names in the industry becoming part of its client list. The primary reason behind the success of Compass Mining is its easy-to-use interface that allows organizations to get on with the process of cryptocurrency mining. It rents out the mining space and necessary hardware equipment required to mine Bitcoin. It is indeed an interesting development and can have significant implications for Bitcoin prices. The disruption in Bitcoin mining activities due to the crackdown by Chinese authorities has raised concerns about the supply of digital coins and, more importantly, negatively impacted its price. However, Dorsey’s revelation of being involved in the mining operation can help Bitcoin post positive growth numbers.

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