Riot Blockchain Gets 1,200 Cryptocurrency Bitmain Minersbr>
Riot Blockchain, formerly known as Bioptix, will be acquiring 1,200 cryptocurrency miners from Bitmain, a Chinese mining equipment manufacturer. The transaction is anticipated to close on or before November 15.
Established in 2008, Riot Blockchain is a venture-funded company with previous investment rounds led by Boulder Ventures and Rusnano, respectively. The company leverages its expertise and network to build and support blockchain technology companies.
The company said it has entered into a definitive agreement with Bitmain to acquire cryptocurrency mining equipment consisting of 700 AntMiner S9s and 500 AntMiner L3s. Riot Blockchain also said that it has secured a location for the operation of the mining equipment at a competitive electricity cost, with infrastructure in place for expansion.
The mining equipment will run on hydroelectric power, which will help the company keep spending in check and increase production. Riot Blockchain plans to lease the current data center infrastructure to offer the full range of mining solutions. The total hashing power of the equipment is expected to be 9.8 petahash for bitcoin mining and 250,000 MH for Litecoin mining.
Riot Blockchain President John O’Rourke said the acquisition positions the company to launch their cryptocurrency mining operations at a time that bitcoin and other digital currencies are gaining increased attention and adoption.
“We plan to leverage the mining technology to help realize our vision of becoming a leader in blockchain technologies,” said O’Rourke. “Mining bitcoin helps secure the bitcoin blockchain, while providing us direct exposure to accumulating bitcoin in the process.”