In anticipation of the impending Bitcoin halving, Riot Platforms and CleanSpark are significantly bolstering their Bitcoin mining operations through strategic acquisitions. Riot Platforms has made a substantial acquisition of 31,500 Bitcoin mining machines, while CleanSpark has completed the acquisition of three new facilities, marking a notable expansion in their mining infrastructure.
These strategic maneuvers are part of a broader effort within the crypto mining sector to enhance efficiency and prepare for the impending Bitcoin halving. The halving event, which will reduce per-block rewards from 6.25 BTC to 3.125 BTC, poses significant financial pressure on mining operations, prompting companies to take proactive measures to mitigate potential losses.
Riot strengthens its self-mining operations by purchasing 31,500 @Whatsminer_MBT M60S miners from MicroBT. This strategic investment replaces underperforming machines, boosts mining efficiency, and adds additional hash rate capacity at the Rockdale Facility.
Read more in today's… pic.twitter.com/rBXsdjesBQ
— Riot Platforms, Inc. (@RiotPlatforms) February 27, 2024
Riot Platforms’ recent acquisition, totaling $97.4 million from MicroBT, is poised to significantly increase the hash rate capacity at its Rockdale, TX facility from 12.4 exahashes per second (EH/s) to 15.1 EH/s by the end of July. The acquisition also includes M60S air-coolers aimed at replacing underperforming miners, aligning with Riot’s plan to replace 17,000 miners while adding 14,500 more. CEO Jason Les emphasized the importance of securing newer and more efficient mining machines in anticipation of the halving event. Additionally, Riot Platforms is eyeing future expansion, targeting a hash rate of 31 EH/s by the end of 2024 as it continues to develop its facility in Corsicana, TX.
Our acquisition of three Mississippi #Bitcoin mining data centers is complete and initial operations have already begun, boosting $CLSK's operating #hashrate to over 15 EH/s.
In nearby Georgia, we have invested over $700 million into energy infrastructure, miners, buildings, and… pic.twitter.com/4U2tE3bn6U
— CleanSpark Inc. (@CleanSpark_Inc) February 27, 2024
CleanSpark’s recent completion of three data center acquisitions in Mississippi, part of a $19.8 million cash deal, marks another significant expansion aimed at increasing its operational hash rate by roughly 2.4 EH/s. CEO Zach Bradford highlighted the swift integration of the new facilities, which has already boosted the company’s fleetwide hash rate to over 15 EH/s.
These strategic expansions by Riot Platforms and CleanSpark underscore the dynamic nature of the crypto mining industry, where companies are aggressively pursuing advancements to secure their positions in the market amidst impending changes like the Bitcoin halving. Analysts warn that up to 20% of the network hash rate from eight mining models could go offline after the halving, emphasizing the critical nature of these strategic expansions for maintaining competitiveness in a tightening market.
