Bitmain Invests In Core Scientific With $53.9 Million To Boost Bitcoin Mining
- Bitmain invests in Core Scientific to expand their partnership in Bitcoin mining.
- It supplies 27,000 high-efficiency S19J XP 151 TH Bitcoin mining machines to Core Scientific in exchange for cash and stock.
- Core Scientific anticipates a significant hash rate boost and plans to receive the units in Q4 2023.
In a significant move to strengthen their long-term partnership, Bitmain, a prominent player in the cryptocurrency mining industry, has announced a substantial investment of $53.9 million in Bitcoin mining firm Core Scientific. This strategic decision aims to propel both companies further into the world of digital currency mining.
Bitmain Invests In Core Scientific To Expand in Bitcoin Mining
As part of this investment agreement, Bitmain will provide Core Scientific with a total of 27,000 S19J XP 151 TH Bitcoin mining machines. In exchange, Bitmain will receive $23.1 million in cash and $53.9 million worth of Core Scientific common stock, with the stock’s value contingent on the approval of a Chapter 11 restructuring plan currently under consideration by the bankruptcy court. This plan is anticipated to gain approval in the fourth quarter of this year.
Moreover, Bitmain has entered into a fresh hosting agreement with Core Scientific, demonstrating its commitment to supporting its mining operations in North America.
Core Scientific Gears Up for Hash Rate Surge with 27,000 New Bitmain Miners
The S19J XP mining servers, known for their high efficiency at 21.7 Joules per TH/s, will enhance Core Scientific’s capabilities significantly. Core Scientific, which has been a Bitmain hosting customer for almost five years, already operates more than 600,000 Bitmain miners across its data centers.
This investment underscores Bitmain’s continued commitment to the North American digital asset mining industry and promises a stronger and more efficient future for both companies in the cryptocurrency mining landscape.
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