Genesis Digital Assets Raises $431 Million to Ramp Up Green Bitcoin Mining
Despite the broader crypto market hitting a speed bump in the last few weeks, the industry is seeing more influx of funds and investors. In a recent announcement, Bitcoin mining company Genesis Digital Assets raised more funds to expand its operations.
Paradigm Leads Latest Funding Round
In a press release on Tuesday, the industrial-scale Bitcoin mining giant announced a strategic investment of $431 million, one of the largest funding received by a crypto mining company.
This latest funding round was led by employee-owned independent Canadian investment dealer Paradigm Capital with participation from other crypto bigwigs like NYDIG.
Commenting on the company’s recent success, CEO Marco Streng noted that the funds would be channeled towards meeting the company’s goal of bringing 1.4 gigawatts online by 2023. According to Streng, the investment is meant to make Bitcoin mining greener by operating in regions where clean energy was readily accessible, notably in the North America and Nordic areas.
Genesis Digital Assets’ data center currently averages over 170 megawatts in capacity, meaning it has a total hashrate of over 3.3 Exahashes (EH/s). The company plans to launch a further 8.6 EH/s next year, with its projected 1.4 gigawatts online in 2023.
As part of the funding agreement, co-founder and managing partner of Paradigm Matt Huang will be joining the company’s board as a member.
Genesis Digital Assets Rapidly Expanding
Genesis Digital Assets was founded by early pioneers of cloud mining services company Genesis Mining in 2013. The company has since grown to become a major Bitcoin mining operation with a Bitcoin mining output just north of 2.4% of the global mining industry.
However, it is facing stiff competition from rival blockchain mining company RIOT blockchain. The Bitcoin mining company produced a stellar performance from the previous year. In the report, the Nasdaq-listed company noted a 771% increase in its mining operation, with Bitcoin mined shooting to 444 from 51 in July 2020.
Riot also announced that it purchased S19 Antminers for $138.5 million to ramp up its BTC mining.
In a bid to step up its operations, Genesis Digital raised $125 million earlier in July from Kingsway Capital, which has family investors like Paul Tudor Jones, Paul Marshall, and Winter Capital.