A New York Spa Reaps Double Benefits from Bitcoin

For over a year, BathHouse had been keeping its clientele in the dark about its unique closed-loop Bitcoin mining system, which efficiently utilizes energy throughout its operations. The mining farm is situated within the same premises as the spa, featuring three pools, and facilitates the water heating system.

Located in the Williamsburg district of Brooklyn, BathHouse accepts Bitcoin as payment for its services. It has now come to light that the establishment uses Bitcoin not just as a payment method.

The initial stage of this innovative process involves Bitcoin mining, which powers up the ASIC farms with electrical energy. During the operation of this mining equipment, a significant amount of heat is produced. Instead of letting this useful heat by-product of the ASIC operations go to waste, it is cleverly redirected towards the pools using heat exchangers. Subsequently, as the stored thermal energy intensifies, the Bathhouse pools reach a toasty temperature of over 90 degrees Fahrenheit, which is about 32°C. Following this, patrons of the spa are treated to the luxurious experience of warm pools, entirely oblivious to the fact that a Bitcoin farm is responsible for heating the water. In the concluding stage, the once-heated water, now cool, cycles back to help cool down the mining equipment. This well-engineered cycle continues to revolve time and again.

In terms of Bitcoin mining, ASIC farms serve a specialized purpose. These devices execute the computational processes required to sustain the decentralization and normal functioning of the Bitcoin network. Their application is strictly confined to the mining of certain cryptocurrencies. They are powerful units that consume substantial amounts of electricity, including that from renewable sources, but also generate considerable noise and heat. Consequently, there's a need for cooling the mining equipment, which could be water-based or involve the use of robust cooling fans, among other possibilities.

BathHouse has smartly organized this process to yield dual benefits - they earn BTC rewards for generating new blocks (which presently stands at 6.25 BTC per block or nearly $200,000) and manage to heat the pools by effectively utilizing the thermal energy produced by the Bitcoin farm. A commendable feat indeed! This resourceful approach is something other companies in the industry could certainly take a leaf from.  

The creators of Bathhouse explained that the moment they launched their Bitcoin mining operation, they immediately started exploring ways to preserve and make use of the surplus thermal energy. As a result, they discovered various architectural solutions where comprehensive heating systems or water-warming methods were established, using the mining farm as a power-generating unit.

When they started their novel approach to pool heating in March 2022, the Bathhouse owners had a clear plan and a meticulously developed project detailing how this technology could deliver dual benefits.

By successfully bringing their project to life, they conclusively showed to themselves and all their critics that Bitcoin mining is a lucrative investment that can swiftly recoup its costs when used judiciously.

Furthermore, opting to share their expertise with their clientele and all other interested parties turned out to be an astute marketing tactic to lure in new customers. 

Interestingly, not everyone was thrilled. Amid the positive and neutral comments under the video heralding the pool heating technology powered by Bitcoin farms, there were negative reviews spotted too. 

“This makes me like Bathhouse less,” said one user. “Now I'm concerned about who is mining this cryptocurrency, who is profiting from it, and whether I support that. We’re gonna need some transparency.”

Another customer posted a funny remark: “In the year of our lord 2023… thinking bitcoin mining gives you cachet? Praying this is a poorly-conceived joke.”

However, a majority of customers admitted that this setup was remarkably rational and forward-thinking. Some Bitcoin maximalists have also visited this 'hot spot'. In particular, Bradley Rettler, a noted fan of the premier cryptocurrency and a member of the Resistance Money group, voiced his support for Bathhouse, writing, “Thank you for securing the network, helping resist authoritarianism, and bringing financial freedom to people while you heat your pools!”