Horizon Kinetics Spends Estimated $30M on Bitmain Products

July 4, 2020 7:24 PM UTC

Core Scientific, a US-based blockchain firm, is planning to acquire the newest mining rigs from the leading equipment manufacturer Bitmain.

According to Core Scientific’s claims, it will conduct a massive acquisition of S19 machines. More than 17,000 S19 Antminers will be purchased from Bitmain on behalf of Core Scientific’s users and for the firm’s personal usage. S19 miners sell for just under $1,800 a piece, placing the purchase value of 17,000 units at north of $30 million.

Kevin Turner, CEO of Core Scientific, said, “Core Scientific has received and begun testing the first of Bitmain’s newest ASIC miners, and has seen material success in increasing existing hash rate to achieve a 110 TH/s ± 3%.”

Horizon Kinetics Supported the ASIC Investment 

Core Scientific has reported that Horizon Kinetics, the $5.3 billion resource manager, has overseen the venture to acquire Bitmain’s newest ASIC miners. Furthermore, Core Scientific disclosed that the quantity of hosted miners has significantly increased by Horizon Kinetics.

Horizon Kinetics’ COO, Hugh Ross, stated that the firm has collaborated with Core Scientific after examining numerous years of North America mining rigs providers. 

Regarding the collaboration, Ross stressed the convenience of being capable of accessing “a steady flow of the latest Malaysian-manufactured equipment from Bitmain.”

Mining Hash Rate is Shifting 

Core Scientific is buying the newest S19 to increase its revenue by outperforming other mining firms. 

Core Scientific customer service officer, Russell Conn, states that the hash rate is continuously growing in North America. He explained that low electricity costs make North America a more favorable region for mining activities. Though, the energy edge does not mandate that other mining regions will become abandoned. 

According to Cann’s personal analysis, the mining industry is starting to scatter around the globe. This pulls away from the large China-based concentration of mining rigs.

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