The cryptocurrency mining scene is heating up all across the globe with new farms and mining companies emerging in major countries. The competition in the US, however, is narrowing down to major mining firms, namely Nevada-based Marathon Patent Group Inc., and Colorado-based Riot blockchain.
According to a recent announcement, the Marathon Patent Group has signed a contract with crypto mining hardware manufacturer Bitmain, for a total of 10,000 next-generation Antminer S-19 Pro ASIC Miners.
The company states that this would result in a total of 23,560 miners at the company’s disposal, “making it the largest self-miner in the region” hitting a total hashrate of “2.56 EH/s.” This would put the firm among the top 15 mining groups globally.
The agreement is the latest in a series of purchases by Marathon to boost mining capacity and comes at a time when the price of Bitcoin seems to be making its way towards its all-time high. In a statement, the company noted:
“We entered into the transaction as a continuation of recently publicly announced initiatives, all of which we believe have the potential to result in value creation for our shareholders. The rise in Bitcoin has certainly increased our confidence in our existing growth plans.”
Back in August, the firm closed another deal with Bitmain for 10,500 next-generation Antminer S-19 Pro models for $23 million. The firm noted that the total number of Bitcoin miners owned by the Marathon group would stand roughly at 13,520 following the deal, generating 1.55 EH/S.
Marathon to overtake Riot
Before this announcement from Marathon, Riot Blockchain was aiming for the top with the acquisition of 2,500 S19 Pros earlier this month set to be delivered in December. The firm had targeted a hashrate of 2.3 EH/s by June 2021 after having purchased 18,640 S-19s this year.
As of now, Riot remains at the top with a hash rate of 519 pentahashes per second (PH/s), beating Marathon’s approximately 300 PH/s capacity. The latter expects to claim the first position by April 2021.
Marathon also joined hands with Beowulf Energy for a 105-megawatt Bitcoin mining data center, earlier this month. The data center is expected to generate 1.265 EH/s by the second quarter of 2021, with plans to increase to output to 3.320 EH/s.
The collaboration will allow for a 38% drop in mining costs for electricity and data center management, making the firm more resilient if the price of Bitcoin drops.