Buncombe sets his hearing to block cryptomining

Complaints from Cherokee County have inspired Buncombe officials to consider a one-year moratorium on cryptocurrency mining development while they consider further regulation — or banning — of the land use.

At its April 4th regular meeting, the Buncombe County Board of Commissioners voted unanimously to set a public hearing on the moratorium for Tuesday, May 2nd. (Chairman of the board Brownie Newman and commissioner Amanda Edwards was not present.) If approved, the moratorium would last until next May so county staff can develop permanent regulation of cryptocurrency mining to be included in a future zoning ordinance.

Cherokee County is now home to at least three such mines, banks of computers that solve the complex math underlying cryptocurrency transactions in exchange for the cryptocurrency itself. These electronics generate a lot of heat and must be cooled, often by noisy fan systems, which has led to complaints from the community.

According to reporting from USA today, Residents of Murphy in Cherokee County say a mine has fans so loud it has significantly reduced their quality of life. Buncombe County Commissioner Terri Wells said she became aware of Murphy’s problems and brought the reviews of the crypto mine to county staff. She has also expressed concern over cryptomining’s electricity use, water demand and generation of electronic waste.

Mining of cryptocurrency is not specifically defined in the county’s current regulatory plan, Nathan Pennington, Buncombe’s planning director told commissioners at the April 4 meeting. He said the moratorium will allow the county to complete its comprehensive plan and develop new standards for intensive land use that could harm the natural environment, including crypto mining. It’s unclear to what extent mining companies want to locate in Buncombe, he added, since they typically seek out flat, cheap land, of which the county is in short supply.

Meanwhile, the Cherokee County Board of Commissioners is considering adopting a noise ordinance due to the roar of crypto mining fans, according to minutes from a Jan. 23 meeting. Commissioners there have also presented state lawmakers with a resolution calling for a ban on cryptocurrency mines.

In other news

Buncombe County may be able to acquire 342 acres on Spivey Mountain in the Deaverview community for a county park, if officials agree to partner with the nonprofit Southern Appalachian Highlands Conservancy.

The property, located about 5 miles from downtown Asheville, was purchased in March for about $7.3 million by Deaverview Mountain LLC, a Raleigh-based legal entity. According to a briefing presentation on April 4 by Allison DainsBuncombe’s parks and recreation director, the owner is “a conservationist” who has given SAHC a three-year option to buy the property and donate it to the county as a park.

“This is a place we have an opportunity to preserve for wildlife [and] scenic beauty, but perhaps more importantly, it’s a place people can come to. It’s a fantastic opportunity.” said Carl SilversteinSAHC’s Executive Director.

The total cost of the land acquisition is estimated at almost 8.9 million dollars. SAHC has applied for approximately $4.4 million in federal grant funding, which if approved would provide approximately $4.5 million for the county or other funders to contribute. If the county buys the land, there would be an opportunity to build a parking lot, restrooms, educational kiosks and multimodal trails, Dains said, with construction potentially starting in 2027.

commissioner Al Whitesides expressed concern about the price tag of the property.

“As a taxpayer, what we’re getting into, this is something Buncombe County hasn’t done before. Would it be cheaper if we ask the state to step in?” Whitesides asked. “This is great, and it will be great for us, but I hope we realize what we’re picking up here. It won’t be cheap.”

Jay Leutze, senior advisor to the SAHC board, said North Carolina officials recommended SAHC pursue a county park, noting the state is already working to establish Pisgah View State Park in western Buncombe County. Silverstein added that SAHC will seek as much additional funding as possible from outside sources during the three-year timeline set by the new property owner.

Wells said she is most excited about the property because of its proximity to Asheville.

“This mountain forest has tremendous potential to provide our community with educational and recreational opportunities, and I especially love that with public access, anyone will be able to enjoy the best views in Asheville,” she said.