After China cracked down on Bitcoin mining, Nasdaq-listed company Bit Digital released an update on its second quarter Bitcoin production and mining business, and pointed out that the company is moving 14,500 Bitcoin miners from China to the United States. Bit Digital stated that after the Chinese government decided to ban Bitcoin mining, the company “accelerated” its migration strategy to North America.
Bit Digital publishes unaudited report
On July 13, Bit Digital (NASDAQ: BTBT) revealed that it was relocating 14,500 Bitcoin miners to the United States following the recent crackdown in China. The migration information comes from its unaudited report, which explains the company’s Bitcoin production and mining operations in the second quarter of 2021.
As of June 30, Bit Digital reported that it had approximately 32,500 miners, generating approximately 1.92 exahash (EH/s) computing power per second. Bit Digital emphasized that in the first quarter, the company participated in the fleet repositioning and sales of specific old mining machine models and had the opportunity to purchase new machines.
Bit Digital has achieved “a small increase in mining machine sales” and is expected to use $5.4 million in funds for “newer, old-fashioned mining machines.” In the second quarter, using the spot market, Bit Digital purchased 3,515 mining machines, aiming to purchase more mining machines with additional funds.
“The company earned 562.9 Bitcoins in the second quarter of 2021,” Bit Digital wrote in an unaudited report. “The decrease in the first quarter was due to accelerated migration plans, in which more mining machines went offline while being shipped to North America or waiting for installation, as well as the sale and disposal of mining machines. Bitcoin’s US Treasury holdings increased to 588.4,” Bit Digital’s financial report added.
Bit Digital announces the relocation of 14,500 Bitcoin miners from China to the U.S.
At the end of the report, Bit Digital explained that it has been relocating miners to North America since October 2020. Being shipped to North America or waiting to be installed in North America,” Bit Digital revealed. The company’s statement continued:
This quarter, the company shipped 14,500 mining machines to the United States. The company expects to complete the migration of its remaining Chinese miners to North America by the beginning of the third quarter of 2021.
The news was released after the recent update of the Cambridge Bitcoin Electricity Consumption Index (CBECI) project, which shows that 46% of Bitcoin’s computing power is located in China. This estimate is much lower than the statistics for 2020, which shows that China accounts for approximately 65% of the network hash rate. However, the CBECI Bitcoin mining map only records data before April 2021. Nonetheless, the statistics clearly show that similar to Bit Digital’s statement that it started its migration plan in October 2020, many others seem to have done the same.
What do you think of Bit Digital’s relocation of 14,500 Bitcoin miners from China to the United States? Please tell us your thoughts on this topic in the comments section below.
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