Canadian Bitcoin mining company Bitfarms purchased 48,000 new mining machines. With this move, the company’s operational hashing capacity will increase eight times from current levels by December 2022.
The miners will be delivered by MicroBT, a Chinese mining equipment manufacturer and Bitfarms’ preferred supplier.
They will receive 5% of the global Bitcoin hash power
The company has increased its hash capacity to 1.0 EH / s by purchasing more than 12,000 MicroBT mining rigs in the past eight months. The new equipment will be delivered monthly over the next two years and will be installed at Bitfarms’ hydroelectric facilities in Quebec province.
Bitfarms’ provisional target is to reach a hashing power of 3.0 EH / s by December 2021 and to increase it to 8 EH / s by the end of 2022, when the last group of machines are expected to arrive. Bitcoin’s current global hash power is around 159 EH / s. This means that Bitfarms could potentially make up 5% of this, provided the current values remain unchanged. However, this percentage will likely shrink as Bitcoin’s hash rate has increased significantly.
According to Bitfarms CEO Emiliano Grodzki, the procurement of miners will continue to be one of the biggest challenges for the foreseeable future.
“Our strategy will be to continue to grow our own infrastructure and professional operations and to continue mining at our own facilities, which increases operational efficiency and profitability.”
Bitfarms, one of the largest Bitcoin mining companies in Canada, is listed on the TSX Venture Exchange, a public venture capital market for emerging companies. However, it faces competition from other firms, including HIVE Blockchain, which also bet on Quebec’s relatively cheap and abundant electricity.
The news that Bitfarms expanded its partnership with MicroBT came after Bitcoin miners’ record-breaking revenues of $ 1.36 billion in February. Last month, total Bitcoin mining revenue surpassed an all-time high reached in December 2017, with an impressive 21.4% growth from $ 1.12 billion in January.