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Bitfarms Reveals its Plans for Expansion in South America

Bitfarms Reveals its Plans for Expansion in South America

Bitfarms, a significant Canadian Bitcoin mining firm, has revealed its plans for expansion in South America. It unveils that it has secured an eight-year contract to draw over electricity of 210 megawatts, or MW, for $0.022 per kilowatt-hour (kWh). As per an April 19 announcement, Bitfarms has made prominent progress in setting the terms for its Argentinian operation since initially signing a non-binding memorandum to develop a 60 MW power plant in October 2020.

Bitfarms also secured a 250% increase in power capacity and corresponding to a 10% increase in electricity pricing. Moreover, Bitfarms unveiled that it is in advanced negotiations with a local construction company and engineering provider to start developing a mining facility close to its partner power plant. It intends to start mining Bitcoin at the facility in early 2022. Additionally, Bitfarms is a Bitcoin mining company established in 2017. It operates vertically combined mining operations with onsite technical repair, proprietary data analytics and Company-owned electrical engineering and installation services to produce high operational performance and uptime.

Bitfarms Acquired 48000 New Gen Bitcoin Miners from MicroBT

Furthermore, in early March, Bitfarms ordered 48,000 new-generation Bitcoin miners from MicroBT. The current declaration elucidated that it will earmark a relevant portion of the inventory for the new facility. Bitfarms predicts that it would have been capable of mining Bitcoin for just $4,125 per BTC in Argentina through Q4 2020, including a roughly 45% saving over its Quebec facility. The Quebec facility can produce BTC for approximately $7,500 each. The decreased production costs will also enable Bitfarms to prolong the economic life of many older mining units. Moreover, it opined to relocate a prominent part of its older mining hardware to Argentina after the new facility is operational. 

Bitfarms represents the facility as granting geographic production diversification to decrease risk and act as an efficient hedge for Bitfarms against the next halving event in 2024. Additionally, earlier this month, Bitfarms unveiled that it will leverage 3,496 new miners in April and July 2021. Thus, increasing its operational hash rate to 280 pentahashes per second. The firm also contended adding 7.5 Bitcoin to its reserves every day, recently holding 650 Bitcoin worth $41 million and foretelling its inventory will have 1000 BTC in the coming seven weeks.

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