Bitmain Sells Hosted Bitcoin Hashrate to Clear S19XP Stock

Bitcoin ASIC manufacturing giant Bitmain has unveiled a new program to sell hosted hashrate for $9/TH/s in what appears to be the company’s latest effort to clear inventory of its S19XP Hydro miners.

In a blog post published on Monday, Bitmain announced the sale of hosted S19XP Hydro Bitcoin miners for $2,313 per unit, with a hosting fee of $0.10 per kilowatt-hour (kWh).

The S19XP Hydro model features a hashrate output of 257 TH/s and an efficiency of 20.8 J/TH. At Bitcoin’s current hashprice level of $55/PH/s, the S19XP Hydro generates approximately $0.11/kWh in mining revenue. This leaves potential buyers with a static gross profit of $0.01/kWh, accounting for the $0.10/kWh hosting fee.

Bitmain explained that the default hosting period will continue until the accumulated mining revenue equals the $2,313 price per unit. Customers can settle hosting fees at the end of the hosting period using mined Bitcoin, claim the remaining BTC rewards, and withdraw their miner.

Alternatively, buyers have the option to retain 100% of their mined BTC rewards without paying hosting fees if they forfeit ownership of the purchased miner to Bitmain. Customers may also terminate the hosting period early after paying the outstanding hosting fees.

This sales program follows Bitmain’s recent $400 million deal with Chinese car dealership platform Cango to sell 32 EH/s of deployed and on-rack S19XP machines.

As previously reported, Bitmain’s U.S. subsidiary has imported over 50 EH/s of Antminer S19XP units since 2023 as the demand for older-generation mining equipment has declined following the 2022 bear market while institutional miners are increasingly opting for the latest-generation models, such as the Antminer S21 series.