Bitdeer Technologies Group, a prominent Bitcoin mining firm, has announced a significant expansion of its operations through a strategic lease agreement. According to the announcement, the company has secured a 30-year lease for an industrial site in Ohio with the Monroe County Port Authority. This move is set to bolster Bitdeer’s mining capabilities substantially by adding 570 megawatts (MW) of power capacity to its portfolio.
Bitdeer Bolsters its Mining Capabilities
The newly leased industrial park in Ohio will play a crucial role in enhancing Bitdeer’s operational efficiency and output. With the additional 570 MW, Bitdeer’s total global power capacity will reach an impressive 2.5 gigawatts (GW). Also, this expansion underscores its commitment to infrastructure development in the cryptocurrency mining sector.
Out of the total 570 MW, 266 MW should be ready for the miner to use by the latter half of 2025. The remaining 304 MW is currently being assessed for potential inclusion in the regional transmission planning process. Notably, the increase in power capacity will enable the Singapore-based Bitdeer to scale its mining operations, allowing for the processing of more transactions and the generation of more Bitcoin.
Bitdeer to Attract $200M From Distressed Miners
Recall that in 2022, Bitdeer created a $250 million fund to purchase distressed assets from Bitcoin miners. Another spokesperson from Bitdeer mentioned that the company planed to attract another $200 million from outside investors such as family offices, venture capital firms, alternative investment funds, and other mining companies.
Meanwhile, this decision came at a time when depressed token values, high energy costs, and tough competition were putting pressure on Bitcoin miners, causing a well-monitored indicator of mining sector revenue to drop to a two-year low. “We buy cheaper machines and run them in our existing facilities with stable and cost-effective power purchase agreements,” Bitdeer CEO Matt Kong said.
Hut 8 Starts Construction in Texas
In February, Hut 8, the North American digital asset mining giant expanded its operation with the construction of a new 63-megawatt mining facility in Culberson County, Texas. This marks the fifth mining location for the firm in the United States, signaling the company’s commitment to fortifying its presence in the digital asset mining landscape.
The new facility will be operational and online for miners all through the second quarter of 2024. According to a press release, Hut 8 aims to mine BTC at a remarkable 30% lower cost compared to its existing sites in Texas and Nebraska. Notably, the ambitious cost-efficiency strategy is expected to enhance the company’s competitive edge in the dynamic crypto-mining sector.
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