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Riot Platforms Buy $291 Million In Mining Rigs, Locks In Price For Even More

Summary:
Riot Platforms is one of the leading cryptocurrency mining companies with a steady stream of income. A Well-Grounded Company The company’s strength lies in the sheer scale of operations, which allows it to drive down the cost of mining Bitcoin by virtue of its immense processing power. Although it faced a significant downturn during crypto winter – much like any other platform in its situation – the company faced no real difficulties in staying afloat, even securing an investment worth just over 10% of its value from Vanguard. Now that the market for Bitcoin is back in vogue, Riot Platforms is looking to capitalize on these headwinds as much as possible. Thousands of New Mining Rigs Riot Platforms has a long-standing agreement with mining rig builder MicroBT Electronics,

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Riot Platforms is one of the leading cryptocurrency mining companies with a steady stream of income.

A Well-Grounded Company

The company’s strength lies in the sheer scale of operations, which allows it to drive down the cost of mining Bitcoin by virtue of its immense processing power.

Although it faced a significant downturn during crypto winter – much like any other platform in its situation – the company faced no real difficulties in staying afloat, even securing an investment worth just over 10% of its value from Vanguard.

Now that the market for Bitcoin is back in vogue, Riot Platforms is looking to capitalize on these headwinds as much as possible.

Thousands of New Mining Rigs

Riot Platforms has a long-standing agreement with mining rig builder MicroBT Electronics, from whom it has already bought 33,280 miners.

However, the purchase agreement allowed Riot to acquire more miners at a later date at a similarly preferential price.

Today, Riot announced the purchase of 66,500 more miners from MicroBT. All of these machines should be fully operational by the end of 2024, with the first tranche expected to be deployed by the end of the first quarter.

Furthermore, Riot has the option to buy as many as 265,000 more miners at the same price.

“I’m excited to announce the largest order of hash rate in Riot’s history,” said Jason Les, CEO of Riot. “This purchase order and updated Agreement ensures that we will continue to own and operate one of the largest and most efficient Bitcoin mining fleets in the world.

The price of these future purchase options will not exceed our current order as announced today, giving Riot the ability to more effectively plan future capital requirements and providing protection from potentially higher market prices for miners in the future.”

Representatives of the mining platform have not confirmed the exact number of additional miners they plan to buy or when.

However, the Riot Platforms CEO has indicated that he hopes his company’s mining power will surpass 100 EHs in the future.

“Alongside Riot’s commitment to hash rate growth, we are actively building out the infrastructure at our Corsicana Facility, consistent with our long-standing, proven, vertically-integrated strategy. Riot is thrilled to further strengthen our relationship with MicroBT and to lay out our roadmap to reach and exceed 100 EH/s in the coming years.”

The majority of the newly purchased mining rigs are MicroBT’s latest M66S, which has an efficiency rating of 18.5 Joules per TH.

All the miners will be built within the United States in a manner that allows for easy integration into the company’s current integration-cooled facilities.

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