American Bitcoin, a majority-owned subsidiary of Hut 8, has raised $220 million to purchase Bitcoin mining equipment and bolster its Bitcoin treasury.
Investment Raise
According to a regulatory filing, 11 million shares were issued in a private placement, with gross proceeds amounting to $220 million. Notably, $10 million worth of shares were sold for Bitcoin instead of cash, with the average cost of acquisition standing at $104,000 per coin.
Expansion into Dubai
Hut 8 is also expanding its operations to Dubai by opening an office in the city, aiming to trade cryptocurrencies and accumulate digital assets. The company was registered with the authorities on June 23 as Hut 8 Investment Ltd.
Public Company
In May, it was announced that American Bitcoin would go public by merging with Gryphon Digital Mining, which is listed on the Nasdaq. The deal will be conducted via a stock swap, with the new entity using the American Bitcoin brand. Eric Trump will be on the board post-merger.
Thus, American Bitcoin is actively expanding its financial and operational capabilities, highlighting the growing interest in mining and trading cryptocurrencies.
