Northern Data to acquire 33,000 ASIC miners through the acquisition of Bitfield

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Blockchain and high-performance computing company Northern Data has announced that it will acquire Bitcoin miner Bitfield.

According to a press release issued on September 27, all major shareholders have signed a binding purchase agreement for the entirety of Bitfield to be sold for approximately $460 million. Northern Data will acquire between 86% and 100% ownership interest in Bitfield as per the agreement.

Northern Data claims to have become a “global leader in bitcoin mining” through the acquisition, with the company gaining immediate access to 6,600 miners working at ASIC. Essentially, 26,000 entirely new miners are expected to be deployed to sites in Canada and the United States by the second quarter of 2022.

“With this acquisition, we are adding Bitcoin mining to our three existing businesses – Bitcoin Hosting and Services, Altcoin Mining and Cloud Computing,” said Aroosh Thillainathan, founder and CEO of Northern Data AG.

Norther Data Management expects revenue to reach approximately $210 million and $260 million in 2021.

Related: Bitcoin miner Greenidge set to list Nasdaq through merger

Bitcoin mining difficulty has risen over the past two months from a year low of 85 million terahash per second (TH/s) on July 3 to a local high of 140 million TH/s on September 21 according to the seven-day average — the highest Since early June. The total Bitcoin network hash rate is 136 million as of this writing.

After China’s initial crackdown on bitcoin mining, the difficulty of bitcoin mining has subsided as Chinese miners leave the network, but the recent surge in hash rate proves that miners are returning to the internet.