CleanSpark Inc said it has entered into a purchase agreement with Cryptech Solutions for 10,000 new Bitmain Antminer S19j Pro units for a total price of $28 million, and expects to take delivery of the servers by late October or early November.
CleanSpark said its sustainable growth strategy, coupled with the current cryptocurrency market conditions, enabled it to purchase the machines at a substantially discounted price compared to the spot market price earlier this year.
Bitmain, the manufacturer and seller of the devices, sold the S19j Pro model on its website in January for as much as $116 per terahashes per second (TH/s). CleanSpark said it purchased 10,000 units for approximately $28.00 per TH/s.
READ: CleanSpark mines 395 Bitcoin in August as hashrate ramps up
CleanSpark CEO Zach Bradford said: "During the tail end of the bull market last year, we strategically focused on building infrastructure instead of following the then-industry trend of ordering equipment months in advance. This strategy positioned us to make purchases of landed rigs at significantly lower prices, thus reducing the time between deploying capital and hashing, accelerating our return on investment."
Matt Schultz, executive chair, said the company prepared for challenging times, which allowed it to take advantage of opportunities created by the market, to accelerate its growth trajectory.
"Simply put, we've strategically avoided lengthy delays in receiving machines and energizing circuits, quickly adding long-term value to our stakeholders," Schultz said in a statement.
The purchase follows CleanSpark's recent milestone of exceeding a bitcoin mining hashrate of 3.0 exahashes per second (EH/s) last week and the acquisition of its third mining site last month. The company said it also made strategic purchases of over 5,000 units of the Antminer S19 series of machines and more than 1,000 units of the M30s series from June to August.
CleanSpark said it now has more than 40,000 bitcoin mining machines operational at all its sites, with a daily production high of 14.9 bitcoins and a current hashrate of 3.8 EH/s. This has cemented its position as a top five bitcoin mining company in terms of both hashrate and monthly production, according to the company.
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