CleanSpark announces the acquisition of two campuses dedicated to Bitcoin mining, for an amount of 9.3 million dollars. With over 6,000 Bitcoin miners installed, this operation will allow CleanSpark to increase its mining capacity by 15%.
CleanSpark acquires two Bitcoin mining campuses in Georgia
CleanSpark, a Bitcoin mining company, entered into a definitive agreement to purchase two mining campuses turnkey in the State of Georgia, USA.
This company specializes in crypto-currency mining actively pursues its expansion by acquiring these two bitcoin mining rigs for $9.3 million in cash.
According to a June 21 announcement, the two facilities CleanSpark is set to acquire are Bitcoin mining campuses located in Dalton, Georgia. With this turnkey approach, users can purchase preassembled bitcoin mining rigs, configured and optimizedready to be used in mining farms.
The two mining facilities will accommodate more than 6,000 bitcoin mining machinesincluding the latest generations of the Antminer S19 XP and S19j Pro+ units.
These machines were ordered and paid for by CleanSpark earlier this year, according to a press release. This acquisition is part of CleanSpark’s plans to achieve a growth target of 16 PE/s by the end of 2023.
“We continue to seize opportunities created by current market conditions to prepare for the bitcoin halving next year,” said Gary A. Vecchiarelli, CFO of CleanSpark.
CleanSpark increases its mining capacity by 15%, reaching a hash rate of 7.7 PE/s
Closing of the agreement is expected later this week, which will allow CleanSpark to increase its computing power by approximately 1 exahash per second (EH/s), or an increase of about 15% compared to its current hash rate of 6.7 PE/s.
This acquisition is part of the continuity of other purchases made by CleanSpark these last months, despite the decline in BTC mining profitability during the bear market. In April, the company announced the purchase of 45,000 Antminer S19 XP mining rigs for an amount of 144.9 million dollarswhich should add a mining power of 6.4 PE/s.
CleanSpark is thus pursuing its strategy of expanding and strengthening its mining capacities to maintain its position in the sectordespite market fluctuations.
“It is important to emphasize that this acquisition is fully funded from our existing cash reserves and we expect it to help generate revenue for our business almost immediately.”
Bitcoin mining profitability down
The Profitability of Bitcoin Mining dropped to $0.074 per TH/s per day at the time of writing, compared to a peak of $0.46 in August 2021, according to data from Bit info Charts. This decrease in profitability is explained by various factors, including the decrease in block rewards due to the increase in the difficulty of mining and the increase in competition in the sector.
CleanSpark claims that most of its mining activity is in Bitcoin and uses low-carbon energy sourcesrepresenting more than 90% of its energy mix.
“CleanSpark mines Bitcoin using primarily low-carbon energy sources, which make up over 90% of its energy mix, and continues to follow a balanced capital management strategy by selling a portion of its mined Bitcoins for reinvest in its growth.” CleanSpark said in its statement.
With this rapid expansion of its mining capacity, CleanSpark plans to be well positioned for the next Bitcoin halving, scheduled between April and May 2024. During this event, bitcoin block rewards will be reduced to 3.125 BTC.
By preparing in advance, CleanSpark aims to maintain its profitability and capitalize on the opportunities offered by the halving event, which has historically led to an increase in the value of Bitcoin.
Sources: theblock, cleanspark, bitinfocharts