CleanSpark, a Bitcoin mining company, is poised to double its hash rate in the first half of 2024 through strategic acquisitions and expansions ahead of the impending Bitcoin reward halving event.
CleanSpark recently announced its acquisition of four new mining facilities, signaling a significant expansion in its operations. The company purchased three Bitcoin mining facilities in Mississippi for $19.8 million, which are expected to add an immediate hash rate of 2.4 exahashes/second (EH/s) upon finalization of the deal. Additionally, CleanSpark agreed to acquire another mining facility in Dalton, Georgia, for $6.9 million, projected to contribute 0.8 EH/s once construction is complete in April 2024.
With the imminent activation of its Sandersville expansion, adding six EH/s to its hash rate, CleanSpark anticipates its operational hash rate to double from 10 EH/s to 20 EH/s by the first half of 2024.
These strategic moves align with CleanSpark’s preparation for the upcoming Bitcoin halving event scheduled for late April, where the mining reward will be reduced from 6.25 BTC to 3.125 BTC. CEO Zach Bradford emphasized that these acquisitions enhance operational efficiencies as the company braces for the halving.
Following the announcement, CleanSpark’s shares experienced a notable 12% increase in trading, closing at $8.70 on Feb. 6. However, post-market trading saw marginal gains of under 0.5%. In comparison, competitors like Marathon Digital Holdings and Riot Platforms observed share price gains of 2.5% and 4.5%, respectively, on the same day.
Despite an impressive 440% increase in share price throughout 2023, CleanSpark faced a price correction at the beginning of 2024, resulting in a 20% decline year-to-date.
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