A Bitcoin mining data center in El Reno, Oklahoma, is facing a lot of backlash after a massive leak reportedly released 3 million gallons of water, forcing schools, businesses and city and county offices to close last week. The incident has also raised questions about how the facility was operating after the city had issued a Stop Work Order in 2023.Bitcoin mining facility was ordered to stop workAccording to KOCO TV News, the data center is owned by Athlon Blockchain LLC. The city issued a Stop Work Order in 2023 over “multiple fire and life safety code violations as well as the expiration of the building and electrical permits that had previously been issued.”ALSO READ: In 1994, Jack Nicholson donated 60 acres that could have become four homes, preserving Los Angeles wildlife habitatThe property owner was reportedly given until the end of 2023 to correct the violations and obtain new permits. Construction was expected to remain on hold until those requirements were met. However, the facility apparently went ahead with operations.The latest incident has brought the Bitcoin mining facility back into focus. An estimated 3 million gallons of water reportedly leaked from the property, disrupting the community and contributing to the closure of schools, businesses and government offices.The city reportedly believes the company building the facility set up the data center and began operations without further consultation with local officials.ALSO READ: Don’t throw away your banana peels: This simple banana peel and water trick could give your plants a natural nutrient boostIt remains unclear how the facility continued operating despite the earlier Stop Work Order. The report also raises the possibility that the Bitcoin mining operation was housed in shipping containers, although the circumstances surrounding its operation remain unclear.City plans legal action over costsEl Reno officials say local residents will not be left with the bill for the water leak. The city says it is pursuing the property owner for costs associated with the incident and its response.The data center is owned by Athlon Blockchain LLC (Representational)A city statement said it is “preparing to take the necessary legal actions to recoup all costs and expenses related to the water leak from the property owner, including city resources expended in locating and addressing the leak.” Officials have also committed to routine compliance reviews following the incident.ALSO READ: Boston entrepreneur spent $19.125 million assembling a 31.59-acre Martha’s Vineyard estate with an 8,994-square-foot home; in 2026, it fetched a record $43 millionData center water use faces growing scrutinyThe El Reno leak comes amid increasing concerns about data center water use. Large computing facilities can require significant amounts of water for cooling, while Bitcoin mining operations are also known for their heavy energy demands.The Oklahoma incident may not represent typical water consumption at a Bitcoin mining facility. But the sheer scale of the leak has highlighted the potential consequences of inadequate infrastructure and regulatory oversight.With drought conditions also raising concerns about water supplies across parts of the Northern Hemisphere, the El Reno incident adds another chapter to the growing debate over how much water data centers should use—and how closely such facilities should be regulated.