May 29, 2024
Phoenix's $380M Deal for Green Bitcoin Mining with WhatsMiner
Latest Cryptocurrency News

Phoenix’s $380M Deal for Green Bitcoin Mining with WhatsMiner

Phoenix Group is set to acquire hydro-cooling mining equipment from WhatsMiner, amounting to over $136 million, with an additional optional purchase of $246 million. This move by the United Arab Emirates-based company aims to expand its hydro cooling rig portfolio. The $380 million deal, announced on Dec. 7, stands as WhatsMiner’s largest order in the last two years.

The agreement includes the receipt of mining equipment valued at $136 million, accompanied by an option for an additional $246 million. WhatsMiner introduced its hydro cooling hardware line in 2022, with current prices ranging from $1,008 to $2,484, offering a closed-loop water system.

This system is designed to enhance heat transfer efficiency, utilizing water as a more effective conductor compared to air or oil. The advantages include reduced operational costs and a minimized environmental footprint, according to the company.

Since 2022, Phoenix has held the exclusive distribution rights for WhatsMiner equipment. This latest collaboration is seen as a strategic move toward establishing High-Performance Computing (HPC) data centers. The specific deployment location for the acquired equipment remains unclear, as Phoenix operates mining facilities not only in the UAE but also in Canada and the United States.

WhatsMiner, a brand owned by MicroBT, and founded by Zuoxing Yang in 2016, has released its latest mining rigs featuring hydro, immersion, and air-cooling systems. Phoenix serves as both the exclusive distributor of WhatsMiner hardware and Bitmain’s official distributor for the Middle East.

Phoenix recently made its debut on the Abu Dhabi Securities Exchange (ADX) on Dec. 5, opening at 2.25 dirhams ($0.60), marking a 50% increase from its initial public offering (IPO) price of 1.50 dirhams ($0.41). The company’s IPO subscriptions surpassed the offer by 33 times, with 907,323,529 shares sold for 1.3 billion dirhams ($371 million).

Amid challenges faced by crypto mining companies, such as escalating energy costs and lower Bitcoin prices since early 2022, this acquisition positions Phoenix to navigate and thrive in the evolving landscape. Mining firm Canaan, for instance, recently sought capital infusion due to a significant revenue decline.

Image by Freepik

Related posts

Prosecutors Consider Sam Bankman-Fried’s $500M Anthropic Stake Irrelevant to Case

Anna Garcia

Chainlink Addresses Multisig Concerns Amid User Observations

Cheryl  Lee

Ripple’s XRP Coin Surges After Legal Victory Against SEC

Chloe Taylor

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Please enter CoinGecko Free Api Key to get this plugin works.