China-based Canaan, which makes bitcoin mining machines and whose shares trade on the Nasdaq, has received one of the largest orders in its history: Genesis Digital Assets has placed an order for $93.63 million. For that amount, Genesis Digital Assets intends to obtain from Canaan the manufacturer’s latest model, the AvalonMiner A1246, which runs at a hash rate of 90 Th/S.
The two companies did not specify when deliveries would be made – an important question given the emerging global shortage of chips for production, including mining equipment. It is known that Genesis Digital Assets intends to increase the total capacity of bitcoin mining equipment from the current 140 mW (according to those miners that are already in operation) to 257 mW.
Genesis Digital Assets is a new entity within the Genesis Mining organization, as announced earlier this week. Genesis’ parent organization, on the other hand, was founded in 2013 and collectively controls about 1.2% of global bitcoin mining through its legal entities. Genesis now has more than 250,000 working miners, and the organization has already mined more than one billion dollars worth of bitcoins since it began its mining operations.
While this order is very significant for Canaan, Bitmain, Canaan’s competitor, is also getting impressive orders to buy mining equipment. This week, for example, Core Scientific placed an order from Bitmain worth more than $400 million, focused on buying 112,800 bitcoin miners.
Along with the rise in bitcoin prices the global revenue of the mining industry in the world is increasing: in March it amounted to $1.75 billion, and by the end of April it may even be higher than $2 billion.