Cipher Mining splashes $350M on next-gen Bitcoin mining rigs from Bitfury


According to a Form 8-K filing with the United States Securities and Exchange Commission (SEC) on Monday, Cipher Mining will purchase 28,000 to 56,000 next-generation Bitcoin mining hardware from Bitfury at a cost of $6,250 per rig.

At a maximum cost of $6,250 per machine, Cipher’s Bitcoin mining hardware outlay could go between $175 million and $350 million, depending on whether the company elects to receive all 56,000 rigs as stated in the purchase agreement.

The total inventory order will be delivered in seven batches on a monthly basis beginning in the summer of 2022 until December 2022.

As part of the SEC filing, Cipher Mining will pay an advanced fee of $10 million within three business days of executing the agreement to kickstart the massive order.

As previously reported by Cointelegraph, Cipher Mining has designs towards achieving a 745 megawatts Bitcoin mining capacity before the end of 2025.

In March, the company entered into a $2 billion merger with the Nasdaq listed Good Works Acquisition Corp — a special purpose acquisition company (SPAC).

Cipher Mining is also backed by investors like Fidelity Management and Research as well as the Morgan Stanley-affiliated Counterpoint Group.

Related: Northern Data to obtain 33K ASIC miners through Bitfield acquisition

The scale of the company’s planned expenditure for Bitcoin mining rigs is in keeping with the rapid expansion policies being pursued by crypto mining establishments in North America.

Crypto mining firms in the United States have been acquiring more rigs from major manufacturers like Bitmain and MicroBT.

According to data from the Cambridge Bitcoin Electricity Consumption Index, the United States now accounts for over a third of the global BTC hash rate distribution.

Cipher Mining Technologies Inc. has entered into Master Services and Supply Agreement with blockchain development giant Bitfury to purchase Bitcoin (BTC) mining rigs.


Like it? Share with your friends!

What's Your Reaction?

hate hate
0
hate
confused confused
0
confused
fail fail
0
fail
fun fun
0
fun
geeky geeky
0
geeky
love love
0
love
lol lol
0
lol
omg omg
0
omg
win win
0
win
admin

0 Comments

Your email address will not be published. Required fields are marked *

Choose A Format
Personality quiz
Series of questions that intends to reveal something about the personality
Trivia quiz
Series of questions with right and wrong answers that intends to check knowledge
Poll
Voting to make decisions or determine opinions
Story
Formatted Text with Embeds and Visuals
List
The Classic Internet Listicles
Countdown
The Classic Internet Countdowns
Open List
Submit your own item and vote up for the best submission
Ranked List
Upvote or downvote to decide the best list item
Meme
Upload your own images to make custom memes
Video
Youtube, Vimeo or Vine Embeds
Audio
Soundcloud or Mixcloud Embeds
Image
Photo or GIF
Gif
GIF format