Bitfarms, a Bitcoin mining company, has announced plans to invest around $240 million in upgrading its Bitcoin mining equipment. The company aims to ensure profitability after the Bitcoin halving event in 2024.
To prepare for the Bitcoin halving, Bitfarms is focused on improving performance and profitability. Jeffrey Lucas, the CFO of Bitfarms, explained that the company is looking to acquire 88,000 highly efficient Bitcoin miners. As part of this effort, Bitfarms has already purchased 35,888 Bitmain Bitcoin Miner T21 units. They have also exercised a purchase option for an additional 28,000 T21 miners, as well as made further purchases of 19,280 Bitmain T21 miners, 3,888 Bitmain S21 miners, and 740 Bitmain S21 hydro miners.
In March 2024, Bitfarms earned 286 BTC through mining, with a monthly operating hash rate of 6.5 exahashes per second (EH/s). This is a significant increase compared to March 2023 when the company mined 424 BTC with a hash rate of 4.8 EH/s. These numbers highlight the importance of increasing hash rate capacity to maintain profitability in Bitcoin mining.
To fund the fleet upgrade, Bitfarms has sold almost all of the Bitcoin it mined over the past two months. The company currently holds $66 million in cash and 806 BTC in its treasury, giving it a total liquidity of $123 million. This financial stability is crucial for the success of the upgrade program.
Bitfarms is confident in its ability to utilize its operational expertise to achieve industry-leading performance and profitability. The company is committed to reinvesting in its mining fleet and ensuring its long-term success in the Bitcoin mining industry.
In other mining news, Giga Energy, a Texas-based Bitcoin miner, has expanded its operations into Argentina. The company plans to utilize wasted energy from natural gas flaring in the country’s oil fields to power its Bitcoin mining rigs. While Giga Energy expects challenges in fully scaling its operations in the region due to equipment importation delays, the move is a strategic step towards utilizing renewable energy sources for Bitcoin mining.
Overall, these developments reflect the ongoing growth and innovation in the Bitcoin mining industry. As the industry evolves, companies like Bitfarms and Giga Energy are actively seeking ways to improve efficiency, profitability, and environmental sustainability in their mining operations.