Bitfarms Boosts Mining Operations with New Hosting Deal to Enhance Bitcoin Production

Bitfarms, a major cryptocurrency mining company, has signed its second hosting agreement with Stronghold Digital Mining to enhance its operations at a Pennsylvania facility.

This deal involves deploying an additional 10,000 miners to Stronghold’s Scrubgrass site, originally intended for Bitfarms’ Yguazu facility in Paraguay.

CEO Ben Gagnon emphasized that this partnership will bring significant short-term value, as the combined 20,000 miners at the sites will boost overall efficiency. He noted that working with Stronghold’s existing power generation infrastructure would help reduce capital expenditures and provide better control over power costs through energy trading.

The initial agreement lasts until December 31, 2025, with an automatic annual renewal, and Bitfarms will share 50% of the monthly profits with Stronghold. A refundable $7.8 million deposit has been made to cover the estimated power costs for the first three months.

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Despite this strategic move, Bitfarms’ stock fell 10% to $1.96 in after-hours trading, reflecting broader declines in the cryptocurrency market, which has retreated by 3.21% in the last 24 hours.

Source

Alexander Stefanov