Riot Platforms and CleanSpark Beef Up Bitcoin Mining Efforts

Riot Platforms and CleanSpark have executed significant acquisitions to strategically enhance their Bitcoin mining capabilities and fortify their positions in the cryptocurrency market.

Riot Platforms Boosts Hash Rate with $97.4M MicroBT Deal

MicroBT sold 31,500 state-of-the-art Bitcoin mining computers to Riot Platforms in a deal worth $97.4 million. This move will increase the facility’s hash rate from 12.4 exahashes per second (EH/s) to 15.1 EH/s by the end of July.

The purchase also includes M60S air-coolers, which will replace miners that aren’t working well. The move also fits Riot’s plan to eliminate 17,000 miners and combine 14,500 units.

CEO Jason Les, emphasizing the significance of adapting to the upcoming Bitcoin halving, stated in a press release that getting newer and more efficient mining machines is pivotal for the company’s future. Riot Platforms wants a hash rate of 31 EH/s, further solidifying their market position.

Riot strengthens its self-mining operations by purchasing 31,500 @Whatsminer_MBT M60S miners from MicroBT. This strategic investment replaces underperforming machines, boosts mining efficiency, and adds additional hash rate capacity at the Rockdale Facility.

Read more in today’s… pic.twitter.com/rBXsdjesBQ

— Riot Platforms, Inc. (@RiotPlatforms) February 27, 2024

CleanSpark, on the other hand, has bought three new sites in Mississippi for $19.8 million in cash. CleanSpark’s aggressive plan to quickly boost its working hashrate by about 2.4 EH/s includes this expansion. CEO Zach Bradford stressed the importance of adding more hashpower quickly. He pointed out that successfully merging the new facilities had already raised the company’s fleetwide hashrate to over 15 EH/s.

The fact that both businesses have recently made a lot of purchases shows how competitive the crypto mining industry is. Louise Abbott, a lawyer at Keystone Law who focuses on crypto, talked about how important it is to be successful in this field, mentioning things like energy costs and how well the equipment works.

Our acquisition of three Mississippi #Bitcoin mining data centers is complete and initial operations have already begun, boosting $CLSK’s operating #hashrate to over 15 EH/s.

In nearby Georgia, we have invested over $700 million into energy infrastructure, miners, buildings, and… pic.twitter.com/4U2tE3bn6U

— CleanSpark Inc. (@CleanSpark_Inc) February 27, 2024

The Bitcoin halving is coming soon, and per-block rewards will drop from 6.25 BTC to 3.125 BTC. This will likely make it harder for some mining companies to make money.

Galaxy Digital analysts have warned that up to 20% of the network hashrate from eight mining hardware types could go offline after the halving.