Bitcoin miner CleanSpark purchased over 3,800 mining rigs for $15.50 per terahash, far below the current market price of $22.94 and an 85.4% decrease from the all-time high costs of $106.62 in December 2021.
The company announced a $5.9 million acquisition of Antminer S19J Pro Bitcoin miners on Nov. 1 at a price of $15.50 per terahash — significantly less than the current market price of $22.94 for a machine with the same effectiveness, according to sources data.
The company noted that the purchase brings its overall number of devices to roughly 50,000.
CleanSpark claims to have purchased 26,500 miners since the start of the "bear market conditions," a period in which many mining companies have been forced to sell off mining equipment or even face bankruptcy.
CleanSpark may have purchased the miners from competitor Argo Blockchain. As an Oct. 31 report from Argo shows that it sold 3,843 Bitmain S19J Pro machines, the exact amount and miner model that CleanSpark purchased.
While other Bitcoin miners are struggling in the current market conditions, CleanSpark CEO Zach Bradford stated that a "unwavering emphasis" on sustainability, a strong balance sheet, and its operating strategy have enabled CleanSpark to purchase equipment at great values, improve our hashrate, and increase our daily Bitcoin production.
Matthew Schultz, executive chairman of CleanSpark, previously reported that one of CleanSpark's working strategies has been to view Bitcoin mining as a potential answer for creating new prospects for energy development.
However, as Bitcoin mining difficulty rises and profitability falls, mining companies will need to find new ways to diversify their revenue streams in order to stay afloat, while some companies may be forced to consolidate in order to stay in the game.
That was the situation with Crusoe Energy Systems, a Colorado-based Bitcoin miner that purchased the operating assets of portable Bitcoin miner Great American Mining (GAM).
CleanSpark additionally purchased a 36MW facility in Washington, Georgia in August 2022, and an 80MW facility in Sandersville, Georgia in October 2022, to complement its two current mining facilities.
Despite its recent success, CleanSpark's stock price fell 6.32% to $3.26 on November 1st, as per sources data; nevertheless, the dip was reflective of the overall Bitcoin mining market.
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