China-based mining firm Bitmain is to receive a $50 million investment from a number of venture capital firms, according to Bloomberg.
Bloomberg also said the firm intends to expand into production of chips for artificial intelligence and set up mining farms in the U.S.
The unnamed source, according to the report, claimed the investing companies also intend to offer Bitmain management advice as part of the deal.
Bitmain's mining pool – by which miners combine their efforts to have a better chance of solving blocks and receiving bitcoin rewards – is currently the second most powerful globally. At press time, Antpool, as it's called, controlled 15.3 percent of the network's total hashing power.
Bitcoin miners image via Shutterstock
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.