What's Happening?
LM Funding America, Inc., a Bitcoin treasury and mining company, has completed the acquisition of an 11 MW Bitcoin mining facility in Columbus, Mississippi. The purchase from Greenidge Generation Holdings, Inc. includes the site and approximately 7.5 MW or 157 PH/s of operational hashrate from around 2,300 Bitmain S19 series miners. The acquisition, valued at $4 million, was funded through a $1.3 million secured loan and existing liquid assets. The facility offers favorable power pricing at approximately $0.036/kWh, which is expected to enhance LM Funding's overall fleetwide average electricity price.
Why It's Important?
This acquisition is significant for LM Funding America as it expands their Bitcoin mining capacity to 26 MW, diversifying their geographic footprint and reducing single-site risk. The favorable power pricing is expected to lower operational costs, potentially increasing profitability. The move aligns with LM Funding's strategy to acquire undervalued power assets, providing a platform for accelerated miner deployment. This development could impact the cryptocurrency mining industry by demonstrating the viability of smaller-scale operations with strategic power pricing.
What's Next?
LM Funding plans to optimize the remaining capacity at the Mississippi facility with existing and additional cost-effective miners. The company aims to leverage firmware optimizations to improve margins, similar to their operations in Oklahoma. As LM Funding continues to expand its mining operations, it may seek further acquisitions to increase its capacity and enhance its Bitcoin treasury strategy.
