Riot Blockchain Inc announced today that it would acquire 1,200 cryptocurrency mining devices manufactured by Bitmain. The equipment set includes 700 AntMiner S9 and 500 AntMiner L3 machines.
Riot Blockchain, previously known as Bioptix Inc, has already prepared a special location to manage its mining activity. The strategic venue has room for expansion and will allow the exploitation of the equipment with electricity at low cost. The company has agreed to finalize the deal no later than November 15, 2017.
John O’Rourke, President of Riot Blockchain, said in comments on the deal:
“The acquisition positions us to launch our cryptocurrency mining operations, at a time that Bitcoin and other digital currencies are gaining increased attention and adoption.”
“We plan to leverage the mining technology to help realize our vision of becoming a leader in blockchain technologies. Mining bitcoin helps secure the bitcoin blockchain, while providing us direct exposure to accumulating bitcoin in the process,” he added.
The Bitcoin mining machines will run on hydroelectric power, which will help Riot Blockchain keep spending in check and increase production. The company plans to lease the current data center infrastructure to offer the full range of mining solutions.
The equipment has total projected hashing power of 9.8 9.8 Petahash of SHA 256 Bitcoin mining computing power and 250,000 MH of X11 for Litecoin mining, according to the statement.
We reported earlier that Riot Blockchain, listed on the tech-oriented NASDAQ exchange, had changed its name from Bioptix as it redirects its business to blockchain technology. The move attracted many investors and the stock price doubled shortly after the announcement in mid-September.
However, the company still maintains its Bioptex business line.
In mid-October, Riot Blockchain acquired a majority stake in Tess Inc, a Canadian blockchain-based payment system provider.
Bitmain Technologies, founded in 2013, is one of the largest Bitcoin mining equipment manufacturers in the world. It uses its proprietary ASIC chip technology. AntMiner S9, a mining machine targeted by Riot Blockchain, is the world’s most power-efficient mining equipment.