Riot Blockchain purchases 15,000 new miners after Core Scientific

Riot Blockchain purchases 15,000 new miners after Core Scientific

Riot Blockchain, Inc., has reportedly announced that it has purchased over 15,000 new Antminer miners from Bitmain following the buyout of more than 58,000 ASIC bitcoin miners from the Antminer series by Core Scientific. According to Riot, it will receive nearly 12,000 S19j Pro Antminers (100 TH/s) and 3,000 S19 Pro Antminers (110 TH/s) as part of the transaction. The company expects the deployment of the next-generation miners to take place between May and October 2021.

Riot CEO, Jeff McGonegal, is of the opinion that a consistent growth in deployed miners is critical to the success of a miner. The CEO has also stated that operating on a cost-effective basis and expanding the bitcoin hash rate of the company is extremely crucial, especially during periods when there has been an appreciable surge in the spot price of the bitcoin. The company is glad to have secured this latest purchase, particularly when the available supply of mining hardware is persistently leading towards scarcity.

The mining rigs are expected to escalate the company’s existing 2.3EH/s of hashrate by a significant deal. While Riot’s business is set to command a total of 37,640 bitcoin miners at full capacity, the overall operational hash rate capacity of the company is expected to be 3.8EH/s and is anticipated to consume nearly 120 MW of energy. To that end, Riot is estimated of having a total mining efficiency of approximately 31.79+/-% 5 J/TH.

As per sources, the most recent purchase of Riot stands amongst the several big mining rig purchases in 2020, where institutional buyers comprising Marathon, Riot, Core Scientific, and others have ruled the roost. Additionally, while the purchase of the miners has been done with the working capital, Riot does not intend to have any long-term debts. Further, this trend has invoked several bitcoin mining rig models to be sold out very quickly, in turn pushing retail buyers to the secondary markets.

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