Mayor of Rockdale says Bitcoin mining saved the town’s economy

In this post:

• Rockdale’s economy tanked after the Alcoa plant shut down, but Bitcoin mining came in and turned things around with jobs and investment.
• Bitcoin miners poured over $1 billion into Rockdale, paying big taxes and backing local causes like schools, police, and community events.
• Bitcoin mining is booming across Texas, creating over 22,000 jobs, with new facilities promising even more growth in towns like Corsicana.

Rockdale, a small town in Texas, went through an economic disaster in 2008. The Alcoa aluminum plant, once the largest employer in town, shut down due to rising energy costs and new regulations.

The plant, which opened in 1952, had been the backbone of Rockdale’s economy for decades, providing jobs and tax revenue.

When it closed, hundreds of jobs vanished, and families were forced to leave. The town’s tax base crumbled, hitting public services like schools and parks. It seemed like Rockdale had hit rock bottom.

Bitcoin’s role in Rockdale’s recovery

Rockdale’s fortunes changed when Bitcoin came into the picture. The same energy infrastructure left behind by Alcoa became the perfect setup for Bitcoin mining. 

Substations and transmission lines were still in place, providing the cheap and abundant power that Bitcoin miners needed.

It didn’t take long for Bitcoin mining companies to move in and start setting up operations, breathing new life into Rockdale.

At first, there was a lot of skepticism about Bitcoin. Mayor Ward Roddam said: “I wasn’t sure about these miners. “Were they here to stay? Was Bitcoin even real?”

Like many in Texas, he had his doubts. However, after years of working closely with the industry, he saw firsthand the benefits that came with Bitcoin mining.

In a town that had lost its main economic driver, Bitcoin miners came in and started creating jobs. 

Hundreds of people were employed in mid-skill positions, giving residents an opportunity to earn without leaving Rockdale.

Mining companies poured over $1 billion into the town, which was a massive deal for a place that had lost so much. They became some of the biggest taxpayers in Milam County, contributing heavily to the local school district and other public services.

These Bitcoin companies reportedly also donated to local causes, from scholarships to youth sports programs. They supported the police and fire departments, sponsored community events, and even backed the annual Christmas tree lighting. 

“Are these the actions of people who don’t care about rural Texas? No,” Roddam said. “Many employees are Rockdale natives, invested in their hometown’s future.”

Texas has become a hub for the crypto industry. There are more than 22,000 people employed by Bitcoin mining companies across Texas, and the numbers are growing.

Communities like Corsicana are expected to experience the same economic benefits that Rockdale has seen.

Riot Platforms is building a state-of-the-art facility in Corsicana. This facility is expected to become one of Navarro County’s largest employers, creating hundreds of jobs.

It could also bring in $1.4 billion in taxable purchases and over $115 million in wages over the next decade. This kind of investment is exactly what rural Texas needs to fuel its economic recovery.

Not everyone sees Bitcoin mining in a positive light. Some policymakers in Texas argue that Bitcoin miners don’t create enough jobs to justify their energy consumption. 

Mayor Roddam disagrees, pointing to Rockdale’s experience as proof. 

“Some have suggested that Bitcoin miners create very few jobs, but my experience as mayor contradicts that.”

By Jai Hamid / October 7, 2024