Riot Blockchain buys Bitcoin mining hardware for $ 35 million

Riot Blockchain and competitor Marathon are competing for supremacy in the North American Bitcoin mining market. Riot goes on the offensive with a Christmas bulk purchase of mining equipment.

Riot Blockchain continues to focus on expanding its Bitcoin hash rate

The Colorado mining company gave up on December 21stan order for another 15,000 Antminers from manufacturer Bitmain is known. Riot hopes to increase the hash rate to 3.8 Exahash per second (EH / s) in 2021.

The new investment cost Riot $ 35 million. The delivery and installation of the 3,000 S19 Pro Antminer and the 12,000 S19j Pro Antminer is planned for May to October 2021. The purchase is the latest in a series of comparable acquisitions . Because over the summer, Riot already ordered 16,000 of the devices for mining Bitcoin. Another 2,500 were added in October. At the time, the company stated that it wanted to achieve a hash rate of 2.3 EH / s in 2021. In contrast, the now forecast 3.8 EH / s mark an increase of around 65 percent. More than 37,000 mining devices are said to be in use for this.

The Antminer are set up in a data center in the US state of New York. Bitcoin Millionaire scam is responsible for maintaining the system. According to media reports, Riot is also planning experiments with liquid cooling systems for mining gear from the first quarter of 2021. Such a cooling process promises noticeable efficiency gains, especially in hot and dry climates. The tests take place in Texas.

Riots investors can rejoice

Jeff McGongeal, CEO of Riot, made a statement about his company’s growth strategy:

It is very important to increase the company’s Bitcoin Mining Hash Rate and operate cheaply, especially during times when the Bitcoin spot price has increased noticeably. We are happy to have secured this final purchase, especially given the scarcity of mining hardware available.

At least for investors, the strategy of the Nasdaq-listed company seems to be working. Fired by the soaring Bitcoin price , Riot shares were able toin 2020 by 665 percent. The mining company is also one of the largest business Bitcoin traders. She holds over 1,000 BTC.

Other bitcoin miners don’t sleep

The North American mining market, meanwhile, remains a competitive area. After all, the Bitcoin miners at Marathon also ordered 10,000 S19j Pro Antminer from Bitmain just a week ago. The company is aiming for a computing power of 3.56 EH / s. It is planning to build another data center in the north-east of the USA. The cooperation with an energy provider promises operation with green electricity.