Bitcoin mining firm Bit Digital has acquired an industrial constructing in Madison, North Carolina, upping the ante in a enterprise diversification technique that features strategic pivots into AI and high-performance computing.
Bit Digital agreed to purchase the property for $53.2 million by Enovum Knowledge Facilities Corp., the corporate’s wholly owned Canadian subsidiary, regulatory filings present. The funding features a $2.25 million preliminary deposit, with $1.2 million being non-refundable. The transaction is predicted to shut on Could 15.
Bit Digital’s regulatory submitting was submitted across the identical time that it introduced a brand new Tier 3 knowledge middle website in Quebec, Canada, which is able to assist the corporate’s 5 megawatt colocation settlement with AI infrastructure supplier Cerebras Programs.
The Quebec facility is being retrofitted with roughly $40 million in upgrades to fulfill Tier 3 requirements — strict necessities that guarantee excessive reliability for crucial methods and steady operation.
Bit Digital CEO Sam Tabar stated on the time that the Quebec operation “represents continued momentum in our technique to ship purpose-built AI infrastructure at scale.”
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Miners below stress to diversify
Confronted with unstable crypto costs and a quadrennial Bitcoin halving cycle that squeezes revenues, a number of mining companies have leveraged their current infrastructure to pivot to different data-intensive workloads. Mining firms like Hive Digital say AI knowledge facilities provide probably greater income streams than crypto mining.
Within the newest signal of financial ache, public Bitcoin miners bought greater than 40% of their Bitcoin (BTC) holdings in March, in accordance with knowledge from TheMinerMag publication.
Public miners that may’t hold their prices below management wrestle probably the most in sustaining their Bitcoin operations, putting extra stress on executives to hunt out different income streams.
An October report by CoinShares advised that the least worthwhile miners usually tend to shift gears to AI and different workloads.
Associated: SEC says proof-of-work mining doesn’t represent securities dealing
