Bitcoin miner CleanSpark set to double hash rate as halving approaches
CleanSpark Inc. is set to double its hash rate in the first half of 2024 after the Bitcoin ( BTC ) miner agreed to purchase four new mining facilities before the reward for mining the cryptocurrency is halved.
CleanSpark announced on Feb. 6 that it bought three mining facilities in Mississippi for $19.8 million, which will produce an immediate 2.4 exahashes/ second (EH/s) once the purchase is finalized.
The firm also agreed to buy an additional mining facility in Dalton, Georgia for $6.9 million, which will produce 0.8 EH/s. However, that facility is under construction and won’t be ready until April 2024. CleanSpark's shares saw a 12% gain on the day following its announcement.
Combined with the imminent energization of its Sandersville expansion — which is set to add 6 EH/s to the firm’s hash rate — CleanSpark expects its operating hash rate to at least double from 10 EH/s to 20 EH/s during the first half of 2024.
Today we announced two new acquisitions, that combined with the imminent energization of the Sandersville expansion, provide us the additional power needed to double our current operational #hashrate of 10 EH/s and exceed 20 EH/s during the first half of 2024. $CLSK is venturing… pic.twitter.com/LLge0BlcOV
— CleanSpark Inc. (@CleanSpark_Inc) February 6, 2024
The moves come as CleanSpark prepares for the upcoming Bitcoin halving event slated for late April, where the reward for mining a Bitcoin is slashed from 6.25 BTC to 3.125 BTC.
“[The purchases] improve our operating efficiencies as we prepare for the halving,” said CleanSpark CEO Zach Bradford in the announcement.
CleanSpark’s current and projected future hash rates by location. Source: CleanSparkRelated: Riot, TeraWulf and CleanSpark best-positioned miners for Bitcoin halving — CoinShares
CleanSpark (CLSK) closed trading on Feb. 6 at $8.70, an over 12% gain on the day and has seen slight gains of under 0.5% in after-hours trading, per Google Finance.
CLSK’s share price on Feb. 6. Source: Google FinanceThe share prices of two of its competitors, Marathon Digital Holdings and Riot Platforms, increased on the day by 2.5% and 4.5%, respectively.
CleanSpark shares increased 440% over 2023. CleanSpark underwent a price correction to start 2024 and is currently down 20% year-to-date.
Magazine: This is your brain on crypto — Substance abuse grows among crypto traders
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Bitcoin could hit $100K ‘within weeks:’ Galaxy
Bitcoin hitting $100,000 is expected by the end of the year, but might happen before the holidays
There’s a $450 billion behemoth forging BTC’s path to $100k
The Crypto-Industrial Complex is always churning, gobbling up coins much faster than they can be mined and sold
Dynamic Music Data NFTs are redefining artist-fan relationships: Here’s how
How to figure out if an AI crypto project is worth investing in