© Reuters.
Investing.com – Digihost has become the first publicly traded cryptocurrency miner to offer its shareholders the opportunity to earn dividend payments in (BTC), starting in the third quarter of this year.
The company’s first dividend will be 10% of its net income during the third quarter of 2022. Shareholders will have the option of being paid in bitcoin or cash. The rest of Digihost’s net income will be reinvested to fund future business needs and opportunities.
This initiative is a first on the stock market where dividends are usually paid in local currency. “Digihost’s Board of Directors is pleased to announce our decision to become the first public company in the cryptocurrency mining space to implement a dividend policy payable in BTC to its shareholders,” said the CEO and President Michel Amar.
The move comes as publicly traded miners seek to diversify their business model to create additional shareholder value, rather than simply keeping their bitcoins on their balance sheet.
For 2022, the company said it expects an average hash rate to increase by around 5.5x from its 2021 average hash rate. Currently, the miner is mining 4.25 bitcoins per day . It also said it mined 186.8 bitcoins in the first quarter, an increase of around 78% compared to the same period last year.
Thanks to their business model, miners directly benefit from rising bitcoin prices. This rise increases the value of their token stock.
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