Bit Digital Partners With BitMine to Host 7K ASIC Miners

BitMine will store the machines in immersion coolers for greater efficiency.

AccessTimeIconApr 5, 2022 at 1:44 p.m. UTC
Updated Apr 5, 2022 at 2:34 p.m. UTC

Brandy covers crypto-related venture capital deals for CoinDesk.

Crypto miners Bit Digital (BTBT) and BitMine Immersion Technologies have signed a letter of intent to establish a hosting relationship that will start with 7,000 current-generation ASIC miners. The move comes several months after New York-based Bit Digital fully exited the Chinese market after the mining ban, shifting its focus to North America.

  • Bit Digital and BitMine Immersion plan to begin delivery of the ASIC miners in the coming weeks and months and to be at capacity by the end of August.
  • Bitmain’s latest Antminer ASICs start at $7,500 so the agreement could be worth in the $50 million to $60 million range.
  • The companies plan to primarily mine bitcoin (BTC) in immersion-cooled containers, which keeps the machines cool and allows for higher output and better energy efficiency.
  • Bit Digital and BitMine have agreed to a revenue split of the mined bitcoin under the multi-year deal.
  • "We are happy to begin our relationship with BitMine Immersion Technologies, and have known the team for some time. As a company, we have been intrigued by mining using immersion technology, and we are happy we found an ideal hosting scenario allowing us to utilize the benefits offered by immersion cooling of our machines," said Bit Digital CEO Bryan Bullett in the press release.

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Brandy covers crypto-related venture capital deals for CoinDesk.

CoinDesk - Unknown

Brandy covers crypto-related venture capital deals for CoinDesk.