Blockchain Firm Singularity Future Makes $250 Mln Bitcoin Mining Push

Nasdaq-listed blockchain technology firm Singularity Future Technology said on Monday it had formed of a joint venture with power services provider Golden Mainland Inc to build bitcoin mining facilities in the United States. Under the joint venture, the companies will construct bitcoin mining sites with a total capacity of 1 gigawatt.

Singularity Plans Mining Sites In Texas, Ohio

According to the press release, the joint venture is planning to invest about $250 million to build mining sites in Texas, Ohio, and other regions.

Yang “Leo” Jie, Chief Executive Officer of Singularity Future Technology, thinks the partnership will help meet the rising demand for bitcoin mining sites in the United States. As seen with Singularity, bitcoin miners in the United States have recently formed a trend of partnering with established energy firms.

The two companies will be constructing a total of 1GW of mining sites with a capacity for up to 300,000 Bitcoin miners, each with 3,400 watts/hour in energy consumption. Singularity Future Technology will have a major share of 51% in the joint venture, with Golden Mainland having a 49% share. Furthermore, Singularity plans to make an initial capital contribution of nearly $10 million to continue its operations.

Golden Mainland is a Chinese energy firm that specializes in setting up electricity grids. The firm operates several grids across Asia and Africa.

Under the joint venture terms, each company will contribute capital as per its ownership in the joint venture. It means Singularity will contribute more capital towards establishing bitcoin mining sites.

Texas the next mining hub?

Singularity’s plans to mine Bitcoin in Texas follows a string of other firms flocking to the state, thanks to its cheap electricity and mining-friendly regulations.

Recently, electric car maker Tesla, blockchain firm Blockstream and Jack Dorsey’s payments firm Block entered a partnership to mine bitcoin in the state. The three will set up a data centre powered by Tesla’s solar and battery infrastructure.