The UAE-based bitcoin mining and hardware distribution firm Phoenix Group is expanding its inventory with another purchase of mining machines for $187 million.
The company said in an announcement on Tuesday that it is buying the equipment from Bitmain but did not specify the model of Antminers. Phoenix recently bought $136 million worth of WhatsMiners from Bitmain’s competitor MicroBT.
The two purchases total over $320 million in hardware investment, which likely will be funded with the $370 million proceeds that Phoenix raised in an initial public offering in December.
However, the company did not specify the equipment model or the amount of hashrate from these two purchases. At an assumed price of $20/TH/s for the latest generation of equipment, the $320 million investment could bring an additional 16 EH/s to Phoenix.
Earlier this week, CleanSpark announced a preorder of Bitmain’s Antminer S21s for $16/TH/s after using coupons. Based on the original contract, Bitmain already raised the price before discounts to $23/TH/s.
Phoenix’s business includes proprietary mining, hosting and hardware sales. It is unclear how much of the newly purchased hardware will be hashing on Phoenix’s account and how much will be hashing for customers buying from Phoenix’s inventory.
According to Phoenix’s financial report, it claimed to “generate 3.5% of the globe’s BTC hashrate as of October 2023.” Bitcoin’s average hashrate in October was 443.62 EH/s, which implies that Phoenix boasted 15.5 EH/s of hashrate that is under its management.