Bitfarms, a Canadian Bitcoin mining company, has recently exercised an option to purchase a significant number of Bitmain ASIC miners. The company has acquired 28,000 Bitmain T21 ASIC miners, along with an additional 19,280 Bitmain T21 miners, 3,888 Bitmain S21 miners, and 740 Bitmain S21 hydro miners. The purchase of these miners will bring Bitfarms’ total ASIC count to 51,908.
Each Bitmain T21 ASIC miner currently retails for around $3,000 and has a hash rate of 190 TH/s. Bitfarms’ President and CEO, Geoff Morphy, explained that the company decided to secure additional miners due to anticipated hardware price increases. The ASICs are expected to be delivered this year and will increase Bitfarms’ total hash rate to 21 exahash per second (EH/s), which accounts for approximately 3% of the Bitcoin network’s processing capacity.
To support the growth and development of its mining operations, Bitfarms recently announced a $375 million equity offering program. The net proceeds from this program will primarily be used for capital expenditures, as well as for working capital and general corporate purposes. Currently, Bitfarms operates 11 Bitcoin mining facilities and has plans for additional developments in Canada, the United States, Paraguay, and Argentina.
Despite the ongoing bull market in the crypto industry, Bitfarms’ stock has experienced a decline of over 38% this year, along with its peers. This can be attributed in part to the upcoming Bitcoin halving in April, which will reduce miners’ block rewards by half. However, Bitfarms has been actively expanding its operations in preparation for this event.
In related news, Bitcoin recently reached new all-time highs, surpassing $71,000 for the first time.