Cryptocurrency investment firm Digital Currency Group will pour $100mln into its newly acquired subsidiary Bitcoin mining capital and advisory service provider Foundry.
The news was revealed on August 27 on a number of platforms, with Digital Currency Group CEO Barry Silbert making the announcement on his personal Twitter profile while proclaiming that the group may have become the biggest mining operator in North America in the wake of the acquisition.
Foundry has been running quietly since 2019 and intends to offer ‘institutional expertise, capital and market intelligence’ to cryptocurrency miners and manufacturers. The company will offer three different services to the mining ecosystem which includes equipment procurement and financing, mining and staking as well as consulting and advisory services.
The press release states that Foundry is already among the biggest Bitcoin mining operators in America and has also extended financing to other mining operations, to the tune of tens of millions of dollars, to acquire Bitcoin mining equipment in 2020.
The Digital Currency Group is also the parent company of Grayscale Investments which has firmly established itself as the global leader in cryptocurrency investment and asset holdings. Grayscale’s Bitcoin Trust is currently valued at over $3.5bln.
Making Crypto America Great Again
One of the primary goals touted by the various business heads involved in the formation of Foundry is to increase America’s mining footprint.
Mike Colyer will act as Foundry’s CEO and brings plenty of experience to the role having been a former executive of Blockchain and AI firm Core Scientific. Colyer says the company hopes to contribute to a more decentralized mining ecosystem across the world:
“We want to empower decentralized infrastructure in the new digital economy, and our work will support the development and growth of mining operations — particularly in North America. We are a business built by miners for miners, and we are partnering with entrepreneurs who share our mission of advancing the industry and creating a decentralized mining ecosystem.”
Silbert echoed Colyer’s sentiments by reiterating that Foundry’s focus will be on building and supporting the growth of the cryptocurrency mining and staking industry in the West.
“Our mission at DCG is to accelerate the development of a better financial system. Digital asset mining and staking provide the backbone of the blockchain technology that will drive that advancement. Foundry is bringing critical resources and guidance to an essential corner of the industry, and Mike Colyer and his team have the expertise, credibility, and integrity to support the evolving needs of miners and manufacturers.”
Mining manufacturers looking to broaden horizons
Mining equipment manufacturers also seem to be champing at the bit to expand their supply lines across the world and into America in particular.
Jordan Chen, who is the COO of Bitcoin mining equipment manufacturers MicroBT said that the company’s expansion into America has been driven by its partnership with the Digital Currency Group.
Bitmain has also signed a number of deals to supply its newest Bitcoin mining equipment to America companies in 2020. Bitmain’s Global Sales and Marketing Director of Antminer Su Ke said that Foundry has played a crucial role in facilitating the sale of hardware to American firms:
“Through Foundry’s work and financial support of our end customers, we have been able to ship a significant number of machines into the US this year. Foundry’s institutional grade services for North American businesses and its team’s expertise have played a key role in making this happen.”
