• Genesis Digital Assets Purchases 20,000 Bitcoin Mining Rigs As It Expands in the United States and the Nordic Countries

  • According to a press release issued today, Genesis Digital Assets, an American Bitcoin (BTC) mining company, has agreed to purchase 20,000 new BTC mining systems from blockchain hardware giant Canaan.

    Canaan also granted Genesis the right to purchase up to 180,000 additional machines in the future.

    “The Bitcoin mining machines from this most recent purchase order are part of our ongoing (sic) efforts to rapidly scale our Bitcoin mining operations in North America and the Nordics, where we are focused on renewable energy,” explained Abdumalik Mirakhmedov, Genesis co-founder and executive chair.

    Today,we have secured a purchase order from Genesis Digital Assets Limited, for 20,000 of its Bitcoin mining machines. In conjunction with the Order, Canaan has granted Genesis an option to purchase up to 180,000 additional mining machines.https://t.co/DUBJgcwdmF pic.twitter.com/1HJn0fl2cX— Canaan (@canaanio) August 31, 2021

    He went on to say that the new rigs will “dramatically” increase the company’s mining capacity and are part of Genesis’ overall plan to reach 1.4 gigatonnes by the end of 2023.

    According to the company’s website, Genesis was responsible for 2.6 percent of the Bitcoin network’s total computing power as of July 2021.

    Bitcoin mining after China

    Bitcoin’s hash rate, as well as its price, plummeted at the time as miners began to relocate their operations out of China.

    Because the network had to automatically readjust itself in the face of a massive exodus of miners, the Bitcoin mining difficulty dropped several times in a row. Mining difficulty refers to how easy it is for miners to earn the reward of a blockchain network.

    China controlled nearly 80% of Bitcoin’s hash rate just a year ago, sparking a “cold war” with the United States for blockchain supremacy. Following the May crackdown, some experts predicted that America (and possibly other countries) would finally gain an advantage in terms of Bitcoin mining power.

    “People continue to place too much emphasis on this or that territory, but it is irrelevant—Bitcoin is truly global.” Meanwhile, China may have simply handed financial power to the rest of the world—that could be very interesting,” Jason Dean, a crypto analyst at Quantum Economics, previously told Decrypt.

    According to the Cambridge Bitcoin Electricity Consumption Index, China’s share of the global Bitcoin hash rate has dropped to just over 46 percent in recent months. In turn, the United States now hosts 16.1 percent of Bitcoin’s total computing power.

    With the addition of 20,000 Bitcoin miners purchased by Genesis—and potentially 180,000 more—share America’s is expected to grow even larger in the future.

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