Bitcoin miner Cipher purchases 37K Bitmain Antminers for $99.5M

Cipher Mining expands operations with major purchase of mining devices

Cipher Mining, a publicly traded Bitcoin mining firm, is ramping up its operations with a significant acquisition of cryptocurrency mining devices. The company has announced its plans to purchase 37,396 units of Antminer T21 miners from Bitmain, a leading Chinese crypto mining giant. This move is expected to greatly enhance Cipher's mining capacity by delivering 7.1 exahashes per second (EH/s) of self-mining power by the first half of 2025.

Cipher's CEO highlights the advantages of the purchase

Cipher's CEO, Tyler Page, expressed his optimism about the purchase, stating that it will enable the company to establish its first 135 megawatts (MW) at the newly acquired Black Pearl site. Additionally, Cipher has secured the option to acquire an additional 45,706 miners, representing 8.7 EH/s, in 2024. Page also emphasized that the purchase allows Cipher to lock in a favorable price for the mining rigs, at $14 per terahash (TH), as they anticipate a bullish market for Bitcoin.

Investment demonstrates Cipher's positive outlook on the Bitcoin market

This significant investment by Cipher is a testament to their bullish stance on the Bitcoin market. In November 2023, the company reportedly signed a purchase agreement to acquire a new site in Texas, valued at $7 million. This acquisition was paid for with newly issued common stocks. The Texas site is expected to become operational in 2025 and has the potential to support a capacity of up to 300 megawatts.

Cipher's aggressive approach to acquiring mining devices

Cipher has been actively acquiring new crypto mining devices throughout 2023. In May, the company purchased 11,000 Canaan A1346 mining rigs. These strategic acquisitions demonstrate Cipher's commitment to expanding its mining capabilities and staying at the forefront of the industry.

Cipher Mining, based in the United States, went public in 2021 through a $2 billion merger with Good Works Acquisition Corp, a Nasdaq-listed company. The company is a subsidiary of Bitfury, a prominent cryptocurrency mining firm that has reportedly mined approximately 600,000 BTC, accounting for nearly 3% of all Bitcoin mined to date.