FTX and BlockFi Fall Victim to Kroll Hack, Exposing Customer Data
SEC Delays $30 Million BlockFi Penalty Until Investors Are Repaid
FTX is the successful bidder for the assets of the insolvent Voyager
According to a news statement, Alborz, a joint venture between bitcoin miner Cipher (CIFR) and renewable energy company WindHQ, has received a two-year $46.9 million secured credit facility from crypto lender BlockFi Lending to purchase crypto mining machines.
- The money will be used to purchase Bitmain S19J Pro mining equipment for Alborz's 40 megawatt (MW) data center in Texas, which is powered by a 163 megawatt (MW) wind farm. The mining facility will generate around 1.3 exahash per second (EH/s) of mining power once the rigs are delivered.
- "At the Alborz data center, our credit arrangement provides an attractive source of non-dilutive funding," stated Tyler Page, Cipher's CEO.
- The deal comes as Wall Street experts hail debt financing as a favorable stimulus for the miners since, unlike an equity issue, it does not dilute existing investors.
- In March 2021, Cipher was spun off from Bitfury, a bitcoin (BTC) mining hardware company, and went public via a special purpose acquisition company (SPAC) deal. Cipher's stock has plunged 37 percent this year, while bitcoin's price has decreased 25 percent.
- Cipher began mining operations at its Alborz data center in February of this year. According to a recent annual filing, the company expects to install roughly 445MW of electrical generating capacity by the end of the first half of 2023.
- Cipher has also committed into mining buy contracts to deliver hashrate of around 8.5 EH/s in 2022, according to the annual filing, based on agreed delivery timetables with Bitmain and SuperAcme and assuming timely deliveries. Cipher is projected to hold around 7.2 EH/s of this mining power, with the rest going to WindHQ.
=====
Related Video:
