Bitcoin miner 360 Mining raises $2.25 million as it scales natural gas production
Bitcoin miner 360 Mining raised $2.25 million in a brand new funding spherical and plans to deploy the funds to extend pure gasoline manufacturing and mining capability.
The corporate’s plans have been revealed by Bitcoin mining software program firm Luxor, which stated it’s taking part within the funding round, together with BT Development Capital.
360 Mining beforehand raised $6 million in a seed spherical in October 2021. The corporate is ramping up manufacturing at a time when among the largest Bitcoin miners are struggling to pay the payments. The autumn of bitcoin worth, mixed with excessive spot power costs and elevated mining issue, has squeezed miner income.
360 Mining at present operates a 2 megawatt capability website in Texas, permitting for a hashrate of 45 PH/s. The brand new funds will enable it to extend gasoline manufacturing eightfold, CEO Chris Alfano advised The Block over Telegram. He anticipates including 90 PH/s by the primary quarter of 2023.
“We anticipate to copy our mannequin on bigger gasoline property that we are able to purchase all through 2023,” Alfano stated, including that the corporate plans to succeed in 50 megawatts of capability by the tip of subsequent yr.
Being absolutely built-in is a key a part of the corporate’s technique to “thrive in turbulent markets,” the CEO defined.
“By proudly owning the underlying power useful resource, 360 Mining is ready to adapt and stay worthwhile in turbulent markets by monetizing produced gasoline throughout three uncorrelated markets,” Luxor stated in an announcement. They embody Bitcoin mining, conventional gasoline gross sales and electrical energy gross sales.
Entry to low-cost power has turn into important to survival, and the usage of stranded gasoline by firms like Crusoe has grown in recognition.
360 Mining’s pure gasoline, nevertheless, shouldn’t be stranded — for a lot of causes. First, it “offers a income stream uncorrelated to BTC” and subsequently extra stability sheet flexibility, Alfano stated. Second, it permits for larger gasoline volumes in a single location and thus extra scalability.
“Discovering stranded gasoline is difficult, discovering massive volumes of stranded gasoline is needle within the haystack,” he added.