While China continues to be a superpower in the market for mining Bitcoin, North America has now obtained another player who can aid in decentralizing mining power. The player comes in the form of Hut 8 Mining Corp (Hut 8), who recently announced a partnership with Bitfury Group (Bitfury) to form North America’s biggest Bitcoin mining center.
Valery Vavilov, CEO for Bitfury, recently said in a statement:
“We are excited to partner with Hut 8 to expand our activities in the strategic North America market. We believe there is a tremendous opportunity to establish North America as one of the most important cryptocurrency mining hubs in the world.”
Bitfury, the world’s biggest Bitcoin mining company outside China, is best-known for developing their own Application Specific Integrated Circuit (ASIC) chips. Their custom hardware and solutions lower costs and improve productivity by eliminating any reliance on third parties. Setup time to form a commercial Bitcoin mining center can also be significantly lowered with their BlockBox AC datacenter.
On the other hand, Hut 8 is a Bitcoin mining company that will give shareholders access to Bitcoin’s price appreciation. Hut 8 will also be controlling what may be the largest mining farm for cryptocurrency in North America once the partnership is settled, gaining immediate authority over 22 Bitcoin mining datacenters all over Alberta.
The expectation is for Hut 8 to scale 60 or more data centers and also be listed on the Canadian stock exchange during the first quarter of 2018 through a combination of Bitfury sites and recent installations.
The datacenters will consist of Blockboxes, Bitfury’s own containerized Bitcoin mining unit that carries Bitfury’s 16nm ASIC chip. Through these assets, Bitfury will be providing the infrastructure for the collaboration while Hut 8 will operate the centers.
Hut 8 is made available on around 13,200,000 shares on a private placement support through GMP Securities L.P. back on the 4th of December, and is worth approximately $25.7 million or $33 million CAD.
Besides the partnership, the company Giga Watt has also been making moves in the North American market for cryptocurrency mining by promoting its own standard data center design which they call “Giga Pods.”
Moving forward, it will be quite interesting to observe how these companies will go about their development come 2018.