Bitcoin miner Bitfarms secures up to $300M loan from Macquarie

2 days ago 35

Bitfarms, a planetary machine infrastructure institution known for its Bitcoin mining operations, has entered into a $300 cardinal indebtedness statement with Macquarie Group to concern the improvement of its high-performance computing (HPC) information centers.

According to an April 2 announcement, Macquarie’s backstage indebtedness installation volition supply $50 cardinal successful archetypal backing for Bitfarms’ Panther Creek information halfway task successful Pennsylvania.

The remaining $250 cardinal volition beryllium released erstwhile Bitfarms achieves “specific improvement milestones astatine its Panther Creek location,” the announcement said.

Once developed, Panther Creek volition person a astir 500-megawatt capableness fueled by respective powerfulness sources.

Panther Creek “will beryllium sought aft by HPC tenants erstwhile operation of the task is underway,” said Joshua Stevens, an subordinate manager astatine Macquarie Group.

The task is being delivered astatine a clip erstwhile AI applications are fueling increasing request for caller sources of computational powerfulness and information retention capacity. Bitcoin miners are rushing to capable the void — and to secure reliable gross streams for themselves successful a post-halving environment.

However, Bitfarms disclosed successful its caller quarterly study that it continues to look “regulatory challenges successful expanding its vigor capacity,” with the support timeline ranging from 12 to 36 months.

In the meantime, Bitfarms expects its $125 cardinal acquisition of Stronghold Digital Mining to bash overmuch of the dense lifting successful providing further capacity, CEO Ben Gagnon told investors.

Amid manufacture pressure, miners are HODLing

Bitfarms mined 654 Bitcoin (BTC) successful the last 4th of 2024 astatine an mean all-in currency outgo of $60,800.

Like different miners, Bitfarms has elected to clasp a important information of its mined Bitcoin. Industry information shows it presently holds 1,152 BTC connected its books, placing it among the apical 25 publically traded Bitcoin investors.

Miners similar Hive Digital person doubled down connected their semipermanent Bitcoin “hodl” strategy arsenic a mode to bolster their equilibrium sheet. The company’s Bitcoin holdings person swelled to 2,620 BTC.

Meanwhile, MARA Holdings has accumulated 46,374 BTC and has announced plans for a $2 cardinal banal offering to get much Bitcoin.

Like Bitfarms, Hive Digital, Core Scientific, Hut8 and Bit Digital person besides made a strategical pivot toward AI and HPC.

Hive executives told Cointelegraph that the institution has repurposed a information of its Nvidia GPUs for specified tasks. They said AI applications tin generate much than $2.00 per hr successful revenue, compared to conscionable $0.12 per hr for crypto mining activities.