CleanSpark Acquires $193 Million Worth of Mining Equipment to Capitalize on Bitcoin’s Surge
Mining firm CleanSpark has made a strategic move to acquire 60,000 Bitmain S21 miners for $193.2 million, with the aim of maximizing its accumulation of newly minted Bitcoin (BTC). The machines are expected to be delivered between April and June of this year. Additionally, CleanSpark has secured a call option to purchase an additional 100,000 machines at a fixed price until the end of 2024.
CleanSpark Expands Capacity to 50 EH/s
If the call option is exercised, CleanSpark’s total capacity will reach 50 exahashes per second (EH/s), which is a significant increase from its current fleet. This expansion represents nearly 10% of the entire Bitcoin network’s hash rate. CEO Zachary Bradford stated that the call purchase option acts as a hedge against potential price increases in the future.
Bitcoin Miners Benefit from Rising Prices
With the recent surge in BTC prices, mining companies have seen increased profitability due to higher market value and record-breaking transaction fees. CleanSpark’s decision to acquire mining equipment is driven by the anticipation of rising demand during bull markets. The stock price of CleanSpark (CLSK) reflects this trend, having increased by 385% over the past year.
Hot Take: CleanSpark Takes Advantage of Bitcoin’s Bull Market
CleanSpark’s latest infrastructure deal demonstrates its commitment to seizing opportunities presented by Bitcoin’s bull market. By acquiring a significant number of mining machines, the company aims to increase its capacity and secure a larger share of Bitcoin rewards. With rising BTC prices and favorable market conditions, CleanSpark’s strategic move positions it for success in the crypto mining industry.
By
By
By
By