Riot Platforms, a leading industry player in Bitcoin (BTC) mining, and data center hosting, has announced a landmark deal with the china based bitcoin miner manufacturer MicroBT Electronics Technology.
This significant long-term purchase agreement signifies Riot’s acquisition of 33,280 next-generation Bitcoin miners from MicroBT, manufactured in the United States.
These miners will be exclusively produced by MicroBT for Riot’s Corsicana Facility, resulting in a substantial increase in Riot’s self-mining capacity. With a total consideration of $162.9 million, exclusive of applicable taxes and fees and adjustments and an average cost of approximately $21.50 per terahash (TH), this deal holds immense promise for Riot’s future.
Delivery of the new miners is slated to commence in December 2023, with a planned deployment in Q1 2024. Once the 33,280 miners are fully deployed, expected by mid-2024, Riot’s self-mining hash rate capacity will surge to an impressive 20.1 EH/s.
Furthermore, Riot has secured an option to purchase an additional 66,560 miners from MicroBT, further solidifying their position as a mining powerhouse. This option, available under the same favorable terms as the initial order, offers Riot the potential to reach a remarkable self-mining capacity of 35.4 EH/s.
In light of these developments, Riot’s CEO, Jason Les, expressed his excitement and anticipation regarding this collaboration. He stated, “Riot is thrilled to initiate this auspicious alliance with MicroBT for the purpose of onshore manufacturing. This agreement marks a critical milestone for our business by securing a vital supply chain for our operations.”
The COO of MicroBT, Jordan Chen, also shared his enthusiasm about this significant order from Riot, emphasizing the substantial technological advancements achieved by their engineering teams.
He further elaborated on the impact of this order on MicroBT’s operations, mentioning the expansion of their manufacturing business in the United States, the creation of new job opportunities, and the training of highly skilled staff members to cater to the growing demand for their United States-based manufacturing services.
The Riot-MicroBT partnership sets the stage for a promising future in the Bitcoin mining industry, with enhanced self-mining capacity, a robust domestic supply chain, and the utilization of cutting-edge technology for optimal performance and efficiency.
