Bitcoin Mining Industry Reveals Mergers, Hashrate Increases, and New Facilities Amid Market Downturn

While bitcoin is down more than 72% from the crypto asset’s all-time high, bitcoin mining operations are expanding at a rapid pace during the downturn. On Tuesday, the bitcoin miner Cleanspark said its hashrate has surpassed 4 exahash per second (EH/s), and the Texas mining company Rhodium revealed it raised $11.9 million, according to a September 19 Securities and Exchange Commission (SEC) Form D filing. Rhodium further disclosed a merger with Silversun Technologies on September 29. Two days ago, Merkle Standard held a ribbon-cutting ceremony as it opened a new mining facility in Spartanburg, South Carolina.

A recently filed SEC Form D registration explains that Rhodium Enterprises, Inc. raised $11.9 million this month, according to a notice of an exempt offering of securities filing published on September 19, 2022. Ten days later, Rhodium and Silversun Technologies detailed the two companies will be merging.

The newly merged operation plans to apply for a public listing and the business combination is expected to settle by the end of the year. The Texas-based Rhodium utilizes “proprietary tech to self-mine bitcoin,” according to the firm’s website.

Following a number of announcements during the last three months, Cleanspark, Inc. (Nasdaq: CLSK) revealed on Tuesday that the company’s mining operations have surpassed 4 exahash per second (EH/s). Cleanspark details that the company is on schedule to meet the end-of-the-year goal of around 5 EH/s. Cleanspark’s CEO Zach Bradford said during the 4 EH/s milestone announcement that bitcoin mining can decarbonize the economy.

“Bitcoin mining, when done with an eye toward low-carbon energy sources, can hasten the decarbonization of our economy,” Bradford remarked. “No other industry can do this like Bitcoin. In addition to being a technology that we believe will revolutionize our monetary system, Bitcoin is also a technology capable of revolutionizing our energy systems, making them more resilient, abundant, and clean.”

On Tuesday, Merkle Standard held a data center ribbon-cutting ceremony with residents of Spartanburg county, South Carolina state treasurer Curtis Loftis, BV Power, and congressman William Timmons (R-SC). “This is the future, so digital assets are going to be a part of our lives going forward and it’s great that we’re on the leading edge,” Timmons said during the ceremony.

According to the local news reports, Merkle Standard’s new facility is a $35 million investment in the Spartanburg county region. Timmons further noted on Tuesday that Merkle Standard’s new data center has provided the county with roughly two dozen jobs and he added that the number is expected to grow.

What do you think about the bitcoin mining operation expansions during the last week amid the crypto winter’s downturn? Let us know what you think about this subject in the comments section below.