Publicly traded Bitcoin (BTC) mining agency Cipher Mining (CIFR) is scaling operations with a brand new mega-purchase of cryptocurrency mining gadgets.
Cipher will purchase 37,396 items of Antminer T21 miners from the Chinese language crypto mining big Bitmain underneath a brand new settlement, the agency introduced on Dec. 18. The brand new mining tools to be purchased is predicted to ship 7.1 exahashes per second (EH/s) of self-mining capability by the primary half of 2025, the announcement notes.
Based on Cipher CEO Tyler Web page, the acquisition will permit Cipher to construct its first 135 megawatts (MW) at its newly acquired Black Pearl web site. Cipher has additionally secured the choice to amass an extra 45,706 miners representing 8.7 EH/s in 2024.
The acquisition permits Cipher to lock the value for mining rigs at a “very engaging” worth of $14 per terahash (TH), the CEO famous, including:
“We’re controlling our largest potential capital expense and locking in favorable phrases forward of what we imagine can be a bull marketplace for Bitcoin.”
This funding is proof of Cipher’s bullish outlook on the Bitcoin market. In November 2023, Cipher reportedly signed a purchase order settlement to amass a brand new Texas web site for $7 million, paid in newly issued widespread shares. The positioning is reportedly anticipated to grow to be operational in 2025, boasting a possible capability of as much as 300 megawatts.
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Cipher has additionally been aggressively shopping for new crypto mining gadgets in 2023, bagging 11,000 Canaan A1346 mining rigs in Might.
Primarily based in the US, Cipher Mining went public in 2021 after signing a $2 billion merger cope with the Nasdaq-listed Good Works Acquisition Corp. The corporate is a subsidiary of the cryptocurrency mining agency Bitfury, which reportedly mined not less than 600,000 BTC — or almost 3% of all Bitcoin to be ever mined — as of March 2021.