Riot Blockchain is set to acquire a Texas data facility for $650M

Riot Blockchain is set to acquire a Texas data facility for $650M


Error. Page cannot be displayed. Please contact your service provider for more details. (29)


” />

Riot Blockchain continues its efforts to develop bitcoin (BTC) mining. The US mining company reportedly wants to acquire Whinstone US Inc, which is currently owned by Northern Data.

The proposed acquisition was announced Thursday in a press release from Riot Blockchain, the US-based bitcoin miner is paying $80 million in cash. The rest will come from selling about 12% of the shares to Northern DAG.

Whinstone reportedly operates one of the largest bitcoin mines in the United States. Whinstone’s data center, located in Texas, would have a total capacity of 750 megawatts, with an additional 300 megawatt expansion under construction.

Once the deal closes, Riot Blockchain is expected to become the largest public bitcoin miner in North America in terms of operational capacity.

For Riot Blockchain, the acquisition of Whinstone represents an opportunity to increase its bitcoin mining capacity. According to Jason Les, CEO of Riot, the path the bitcoin miner has taken is to increase US participation in the global BTC mining industry.

In its announcement of the deal, Northern Data said the sale of Whinstone Riot Blockchain will not have a negative impact on earnings before interest, taxes, depreciation and amortization. According to Northern DAG’s statement, the company’s profitable multi-site strategy means that all previous forecasts for EBITDA in FY2021 remain unchanged.

The proposed acquisition of Whinstone for $650 is accompanied by several expansions from to US bitcoin shares. In fact, Cointelegraph recently reported that Riot Blockchain bought 42,000 Antminer devices from Bitmain for about $138 million.

Riot Blockchain recently continued its capacity expansion program, with hash capacity set to increase nearly sixfold by 2020. The company’s efforts suggest that North American bitcoin miners have become more active in challenging China’s dominance of BTC hashing.

Get in Touch

Related Articles

Ray Dalio Says if Successful, Bitcoin Will Be Killed by Authorities

Ray Dalio, the billionaire founder of Bridgewater Associates, believes that if Bitcoin were to become successful, authorities would kill it. Ray Dalio, the founder of...

QTUM Coin – Ultimate Cryptocurrency Guide for 2018

QTUM is a project with the mission of providing blockchain technology to mobile devices. It was founded by the Chinese company, Alibaba Group Holding...

Bitcoin Has Tapped $50K Since May; Total Market Capitalization Turns $943B

Bitcoin has reached $50,000 in value since May and the total market capitalization of cryptocurrencies is now at $943 billion. The price surge is...

Latest Posts

Ray Dalio Says if Successful, Bitcoin Will Be Killed by Authorities

Ray Dalio, the billionaire founder of Bridgewater Associates, believes that if Bitcoin were to become successful, authorities would kill it. Ray Dalio, the founder of...

QTUM Coin – Ultimate Cryptocurrency Guide for 2018

QTUM is a project with the mission of providing blockchain technology to mobile devices. It was founded by the Chinese company, Alibaba Group Holding...

Bitcoin Has Tapped $50K Since May; Total Market Capitalization Turns $943B

Bitcoin has reached $50,000 in value since May and the total market capitalization of cryptocurrencies is now at $943 billion. The price surge is...

How to Buy Ark Coin: Using Coinbase and Binance

Ark is a platform that runs on its own blockchain. It allows for the creation of dApps and smart contracts, which are then run...

Kusama Parachains, a Cause For KSM to 2X Towards $900?

Kusama Parachains is a decentralized platform that allows individuals to share their unused processing power and earn cryptocurrency for doing so. The project was...