Equal rights bitcoin (btc) mining company Cipher Mining (CIFR) is expanding its operations with a new mega purchase of cryptocurrency mining devices.
Cipher will purchase 37,396 units of Antminer T21 miners from Chinese crypto mining giant Bitmain under a new deal, the company announced on December 18. The new mining equipment to be purchased is expected to deliver 7.1 exahashes per second (EH/s) of self-mining capacity by the first half of 2025, the announcement notes.
According to Cipher CEO Tyler Page, the purchase will allow Cipher to build its first 135 megawatts (MW) at its newly acquired site in Black Pearl. Cipher has also secured the option to acquire an additional 45,706 miners representing 8.7 EH/s in 2024.
The purchase allows Cipher to price mining rigs at a “very attractive” price of $14 per terahash (TH), the CEO noted, adding:
“We are controlling our increased potential capital expenditure and securing favorable terms ahead of what we believe will be a bull market for bitcoin.”
This investment is proof of Cipher's bullish outlook on the bitcoin market. In November 2023, Cipher supposedly bitcoin-mining-q3/#:~:text=Furthermore%2C%20Cipher%20has%20signed%20a,of%20up%20to%20300%20megawatts.” target=”_blank” rel=”noopener nofollow”>signed a purchase agreement to acquire a new site in Texas for $7 million, paid in newly issued common stock. The site is reportedly expected to come online in 2025 and have a potential capacity of up to 300 megawatts.
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Cipher has also been aggressively purchasing new crypto mining devices in 2023. sacking 11,000 Canaan A1346 mining platforms in May.
Headquartered in the United States, Cipher Mining went public in 2021 after signing a $2 billion merger deal with Nasdaq-listed Good Works Acquisition Corp. bitcoin-Mining-Company-to-Become-a-Publicly-Traded-Company-via-a-Merger-with-Good-Works-Acquisition-Corp.” target=”_blank” rel=”noopener nofollow”>subsidiary from cryptocurrency mining company Bitfury, which reportedly mined at least 600,000 btc, or nearly 3% of all bitcoin ever mined, in March 2021.
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