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North Tonawanda approves cryptocurrency mining moratorium

The moratorium will be in place for two years.

NORTH TONAWANDA, N.Y. — Tuesday night, the City of North Tonawanda put a moratorium on any new cryptocurrency mining operations in the city.

Wednesday afternoon, 2 On Your Side talked with the Mayor of North Tonawanda about what this means for the future of these data processing centers in North Tonawanda and the one that's already there.

North Tonawanda now has a two-year pause on any new cryptocurrency mining operations within city limits.

"A pause on any new developments or expansion of existing developments," said Mayor Austin Tylec.

Mayor Austin Tylec says that right now, the city has a third-party acoustic expert coming in to monitor the noise levels coming from Digihost, the only cryptocurrency mining facility in the city.

"They'll be doing noise measurements, training our police and code enforcement, helping us pick out the right equipment to do readings, and most importantly updating our codes," said Mayor Austin Tylec.

And he says Digihost is reimbursing the city to hire the outside service up to $30,000. He says it's expected to cost around $20,000.

"We will still have complete oversight of this third-party acoustic expert. I want to make that clear, so there's no funny business by any means," said Mayor Austin Tylec.

Mayor Tylec says Digihost has been keeping an open line of communication with the city.

"They understand that residents aren't happy with the noise coming off of the plant. Right now, they have built a very large acoustic wall along Erie Avenue. They have plans to build an additional wall along the side of their property, and they're looking to start that next week," said Mayor Austin Tylec.

The Mayor says Digihost is also in the middle of swapping out existing equipment for new equipment that will be more efficient.

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