Weekly Mining Newsletter
U.S sanctions on mining for the first time, ATM offerings and more financing deals in mining this week.
Highlights of the week
The IMF released a report this week, warning that bitcoin mining activities can allow sanctioned countries to monetize energy resources that would have been impossible to export. Shortly after the report, the U.S Treasury added Russia-based crypto mining colocation provider BitRiver and 10 of its subsidiaries to a sanction list. BitRiver responded that it was an unfair anti-competitive move by the OFAC to benefit U.S miners.
Meanwhile, Crusoe Energy, Bit Digital, Hut8 Mining and Terawulf have made news with additional financing efforts. Here's a snapshot of public miners that have filed for at-the-market stock offerings so far:
Marathon: up to $750m
Riot: up to $500m
Bit Digital: up to $500m
Hut8: up to $65m
Digihost: up to $250m
Terawulf: up to $200m
Regulatory
Kazakhstan to Introduce New Tax Regime for Bitcoin Miners Kazakhstan is working on increasing the taxes on crypto mining, while also tying the new rate to the value of the minted cryptocurrency.
State Representative and crypto enthusiast Mark Wright has proposed Bill “No. 1010”, which would allow the creation of deregulated industrial power zones.
Finance
Flared-Gas Bitcoin Miner Crusoe Energy Raises $350M Series C — www.coindesk.com The company is also bringing on additional credit facilities of up to $155 million.
Scaramucci’s SkyBridge Starts Fund for Bitcoin Mining — www.coindesk.com The fund has $7 million already booked and was created for a second investment in bitcoin miner Genesis Digital, a source said.
Hut 8 in Deal to Become 100% Self-Mining Company The digital asset miner will buy out all hosted rigs at its Medicine Hat mining facility in Alberta.
Bitcoin Miner Bit Digital Files to Raise Up to $500M in Equity The proceeds will be used for capital expenditures, buying new mining equipment and other potential acquisitions.
Revolve Capital Llc Buys 158,629 Shares of TeraWulf Inc.
The stock was purchased at an average price of $7.88 per share, for a total transaction of $1,249,996.52.
Infrastructure
Core Scientific Begins Reporting Daily Bitcoin Mining Production — www.coindesk.com
The figure will be updated every day at 12:00 p.m. EST on the mining company's home page in a bid to improve transparency.
Standard Power uses LiquidStack for two-phase liquid cooling in Midwest - DCD — www.datacenterdynamics.com
Claims it's a breakthrough for large scale two phase cooling.
Mawson Infrastructure Group expects to reach 4EH/s by Q3 2022
The firm reported 2021 revenue of $43.9 million and gross profit of $34 million. It has updated early Q1 2023 hashrate target to 5.5 EH/s.
Greenidge Generation Expects Revenue of About $38 million for Q1 2022
About 29,800 miners from Bitmain are expected to arrive during remainder of 2022, which will bring Greenidge's total installed hashrate to 4.7 EH/s by the year end.
General & Features
Here are Russian oligarch Oleg Deripaska's ties to the newly sanctioned bitcoin mining company — www.theblockcrypto.com BitRiver's operations in Irkutsk may have drawn Treasury's ire due to ties to energy companies founded by the Russian billionaire.
A 19-year-old mines $887 worth of bitcoin a month in his studio apartment — www.businessinsider.nl
Business Insider featured Mark Setlock and how he was called into his friend's dorm room to help build an ETH mining rig. He eventually inherited the rig and began to build on it.