Bitcoin miner Bitfarms purchases additional 51,908 ASICs amid bull market

Bitfarms has been actively investing in ASICs since the last bear market.
Bitfarms has been actively investing in ASICs since the last bear market.

Canadian Bitcoin (BTC) miner Bitfarms exercised an option on March 11 to purchase 28,000 Bitmain T21 ASIC miners and 19,280 Bitmain T21 miners, for $14 per terrahash (TH) as well as 3,888 Bitmain S21 miners and 740 Bitmain S21 hydro miners for $17.50/TH, for a total of 51,908 ASICs. 

At the time of publication, each Bitmain T21 ASIC miner costs around $3,000 retail and possesses a hash rate of 190 TH/s. 

Geoff Morphy, president and CEO of Bitfarms, said the company secured additional miners "before anticipated hardware price increases." He also noted that the ASICs are scheduled for delivery this year and are expected to bring the firm's total hash rate to 21 exahashes per second (EH/s), or around 3% of the processing capacity of the Bitcoin network. 

On March 8, Bitfarms announced a $375 at-the-market (ATM) million equity offering program. “The Company intends to use the net proceeds of the ATM Program, if any, primarily on capital expenditures to support the growth and development of the Company’s existing mining operations as well as for working capital and general corporate purposes,” Bitfarms wrote.

The company currently has 11 operating Bitcoin mining facilities, with additional developments in Canada, the United States, Paraguay and Argentina.

Despite an ongoing crypto bull market, Bitfarms’ stock has fallen over 38% this year, as with its peers, even as Bitcoin reached new all-time highs. The reason can be partially attributed to the upcoming Bitcoin halving in April, where block rewards are scheduled to be slashed in half, thereby reducing miners’ bottom line. The firm has been actively scaling its operations in the past year in anticipation of the halving event. 

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