Bitmain, a leading producer of Bitcoin mining equipment, has announced the acquisition of devices worth $314 million, significantly increasing the company's computing power.
Purchase of Mining Equipment
According to reports, the deal worth approximately $314 million will add 14.02 exahashes per second (EH/s) of computing power to the company's operations. The agreement also includes up to 17,280 application-specific integrated circuits (ASICs) and protects the buyer from any price hikes related to new U.S. trade tariffs on Chinese-made mining equipment.
Manufacturing Move to the U.S.
Bitmain, which controls about 82% of the global Bitcoin mining hardware market, announced plans to open its first American ASIC production facility before the year's end. A new U.S. headquarters will be located in either Florida or Texas.
Reactions to Tariff Strategy
The Trump administration's efforts to move crypto-related manufacturing onshore have generated mixed opinions. Supporters view this as a way to strengthen domestic supply chains, while critics warn it could increase costs and negatively impact U.S. miners. Hashlabs CEO Jaran Mellerud argues that higher prices could reduce demand from American miners, leaving manufacturers with excess inventory to sell abroad at lower prices. This, he says, may shift mining activities back overseas.
Bitmain's acquisition highlights the ongoing changes in the cryptocurrency mining market and the impacts of tariffs on production policies. The interplay between manufacturers and governmental initiatives remains a current topic in the industry.
