The deployment for the newly purchased Antimers will start in May 2021. Riot Blockchain said that this purchase will help it attain a 65% jump in Bitcoin mining hash rate to over 3.8 EH/s.
On Monday, December 21, Riot Blockchain Inc (NASDAQ: RIOT) announced the purchase of additional 15,000 Bitcoin mining machines from Bitmain. The latest purchase comes as Riot aims to accelerate its Bitcoin mining hash rate growth. Riot notes that the recent purchase will help it attain a 65% jump in mining hash rate to over 3.8 EH/s. Interesting to note that Riot Blockchain stock jumped by 32.65% yesterday to trade at $14.64. In the pre-market today, Riot Blockchain stock went down only slightly, losing 0.79% of its value and touching the level of %14.53.
The recent purchase from Riot includes S19 Pro and S19j Pro Antminers from mining-equipment manufacturer Bitmain Technologies. The purchase specifically includes 3,000 S19 Pro Antminers (110 TH) and 12,000 S19j Pro Antminers (100 TH) for an aggregate cost of $35 million. The recent purchase also pushes Riot’s total fleet to 37,640 Next-Generation Bitmain Antminers. Irene Gao, Antminer Sales Director of NCSA Region, Bitmain said:
“We are extremely excited to expand and deepen our partnership with Riot Blockchain again this year. In total, Riot additionally purchased 15,000 Antminer 19 series. The 19 series enjoy a wide popularity in the global markets with outstanding hash rates and power efficiency, which continuously bring tremendous values to our customers around the world. I am confident that with the new purchase, Riot can continue to grow their mining operation and play an increasingly vital role in bitcoin mining across North America.”
Jump in Riot Operational Capacity that Also Pushed Stock Higher
Once the purchase of the newly purchased Antminers goes live, it will significantly boost Riot’s Bitcoin mining hash rate from the current 2.3 EH/s to 3.8 EH/s. The company has added and deployed new miners consistently throughout 2020. As said, upon full deployment Riot’s total fleet of Bitcoin miners will go to 37,640. This will also boost the company’s operational capacity significantly.
As per Riot’s estimates, the total operational capacity will be 3.8 EH/s while consuming nearly 120MW of energy. Besides, Riot is also expecting an aggregate mining efficiency of 31.79±% 5 joules per terahash (J/TH). Jeff McGonegal, CEO of Riot, said:
“Continued growth in deployed miners is paramount to a miner’s success. Expanding the Company’s bitcoin mining hash rate and operating on a cost-effective basis is very important, particularly during periods when the bitcoin spot price has appreciably increased. We are pleased to have secured this latest purchase, especially given that the available supply of mining hardware continues to become increasingly scarce.”
Riot has been working on expanding its footprint in the crypto space. The company has been working on having a fully regulated crypto exchange in the US.
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
