With the latest Bitcoin halving now in the past, publicly listed Bitcoin miners are ramping up acquisitions. And it might just be the beginning.
What’s happening:
- Publicly listed Bitcoin mining companies have been on an acquisition spree following the most recent Bitcoin halving, with multiple Bitcoin mining companies beginning to roll up new operations to expand their capacity and find low cost power supply
Why it matters:
- There has been a growing skepticism that publicly listed Bitcoin mining companies would largely struggle with profitability after the latest Bitcoin halving due to the decrease in mining rewards, which has spurred many companies to more aggressively focus on efficient operations and access to low cost power to reduce costs
Who is making moves:
- Gryphon Digital Mining (NASDAQ: GRYP) recently acquired new Bitcoin mining operations based in Louisiana which are powered by flare gas and have ultra low power costs of approximately $0.01 per kilowatt hour
- Cipher Mining (NASDAQ: CIFR) recently announced their intent to acquire a newly constructed data centre located in West Texas that has 300 megawatts of capacity for Bitcoin mining operations
- Riot Blockchain (NASDAQ: RIOT) previously announced the acquisition of Kentucky based Block Mining for $92.5M USD
- Bitfarms (NASDAQ: BITF) recently announced the acquisition of Stronghold Digital Mining (NASDAQ: SDIG) in a equity and debt deal worth a total of $175M USD
Going deeper:
- The largest publicly listed Bitcoin miner in the world Marathon Digital (NASDAQ: MARA) has also been making their own moves to increase their upside exposure to Bitcoin prices by recently raising $300M USD through a convertible note and using the majority of the new funds to purchase Bitcoin to hold directly as an asset
The intrigue:
- While spot Bitcoin ETFs have been capturing Wall Street’s attention, some of the most legendary hedge fund managers in the United States of America including Stanley Druckenmiller and Steve Cohen have recently been buying equity stakes in publicly listed Bitcoin mining companies
