Blockstream, an infrastructure firm in the Bitcoin industry, has started its third funding round through tokenized notes secured by Bitcoin mining hashrate.
How Blockstream Hashrate-Backed Notes Work
Blockstream's tokenized notes are tied to a specific amount of Bitcoin network hashrate, providing reliability. Owners of these notes gain the capacity to receive Bitcoin mining rewards from Blockstream. Each note is backed by a certain amount of Bitcoin hashrate, leading to increased revenues as mining rewards. This investment model enables the discussion of Bitcoin's decentralized mining concept; the more computational power (hashrate) employed in mining, the higher the chances of gaining revenues.
New Frontier for Bitcoin Mining Investment
Blockstream introduces a new way for investors to enter the Bitcoin mining business without significant initial capital and equipment costs. Tokenized notes allow investors to benefit from mining rewards without logistical concerns. They also introduce liquidity in mining investments, as note holders can sell or exchange them. With Blockstream's expansion, this new investment round indicates the company's forward momentum in advancing the Bitcoin mining business. As Bitcoin's hashrate grows, these tokenized notes serve as an ideal financial instrument for the decentralized crypto world.
Conclusion
Blockstream's third type of funding, hashrate-backed notes, offers investors the opportunity to directly invest in Bitcoin mining profits. This financial product is a unique combination of a traditional investment instrument and cryptocurrency-based decentralized infrastructure.
Blockstream's decision to launch hashrate-backed tokenized notes presents a new approach to investing in the crypto sector, allowing new investors to gain profits.
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