Bitcoin Mining Firms Hut 8 and US Bitcoin Corp. Announce Merger
The merged company will have access to 825 MW energy, including infrastructure operations with renewable and zero-emission energy sources.
Bitcoin miner Hut 8 has agreed to a merger with US Bitcoin Corp. Both firms will become wholly owned subsidiaries under the newly-formed Hut 8 Corp. Shareholders of the respective two firms will be in possession of 50% of the merged company.
According to the press release, “The Transaction is expected to establish New Hut as a large-scale, publicly traded Bitcoin miner focused on economical mining, highly diversified revenue streams, and industry-leading best practices in ESG.”
In regards to the merger, Jaime Leverton, CEO of Hut 8, said that “Bringing together Hut 8’s operational track record and diversified revenue streams with US Bitcoin’s scalable mining sites, sizeable hosting business, and industry-leading managed infrastructure operations not only accelerates our diversified strategy and positions us for near-term growth, but also establishes us as a strong, U.S.-based player that is ready and able to seize additional opportunities as they arise.”
The newly formed company will have access to approximately 825 MW of gross energy across six locations, including self-mining, hosting and managed infrastructure operations. It will have 5.6 EH/s of installed self-mining capacity, with 244 MW of energy across five sites located in:
- Medicine Hat, AB
- Drumheller, AB
- Niagara Falls, NY
- Granbury, TX
- King Mountain, TX
Hosting at the King Mountain site will be owned by the King Mountain JV, where “New Hut will manage 220 MW of hosting infrastructure … powered by a mix of sources including wind and nuclear, supporting multiple clients, including some of the industry’s largest miners.”
The combined companies will also oversee an infrastructure operations portfolio with a combined output of 680 MW, utilizing a blend of renewable and emissions-free energy sources at locations in Kearney, Nebraska and Granbury, King Mountain in Texas.
Michael Ho, co-founder and CEO of US Bitcoin Corp, remarked that, “We’ve been searching for the right partner to join us on our ambitious growth journey for some time and are confident that Hut 8 is the perfect fit. We were initially attracted to Hut 8’s strong track record, admirable fiscal management through all market cycles, and like-minded approach to generating diversified lines of revenue. Through this process, we’ve determined that the strategic impact this Transaction will drive is significant: we see a clear path to leveraging our collective vision to drive innovative technology advancements and become a second-to-none operator.”
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