UAE-Based Phoenix Group Bolsters Mining Capabilities With $187M Bitmain Deal Amidst Global ASIC Race

UAE-Based Phoenix Group Bolsters Mining Capabilities With $187M Bitmain Deal Amidst Global ASIC Race

Phoenix Group, a bitcoin mining and blockchain infrastructure company, recently disclosed its acquisition of $187 million in application-specific integrated circuit (ASIC) bitcoin mining rigs. The purchase was made from Bitmain, one of the leading ASIC manufacturers in the industry.

Phoenix Group Amplifies Mining Fleet With Latest ASIC Purchase From Bitmain

Listed on the Abu Dhabi Securities Exchange (ADX: PHX), Phoenix Group announced its latest agreement with Bitmain. The company stated that its $187 million investment was in Antminer-brand bitcoin mining rigs from the ASIC manufacturer. However, Phoenix did not reveal the total hashrate capacity obtained or the precise model types of the rigs purchased. The deal follows Phoenix’s recent procurement with another significant acquisition, this time from Bitmain’s rival, Microbt.

Earlier in December 2023, the United Arab Emirates-based bitcoin mining entity placed an order for ASICs valued at $380 million with Microbt. In a manner akin to its Bitmain agreement, Phoenix chose not to reveal the exact models of Microbt’s Whatminers purchased. Additionally, the company recently concluded its oversubscribed initial public offering (IPO), boosting its financial reserves with $370 million.

“This latest deal, following our successful IPO and partnerships, signals our relentless pursuit of excellence and solidifies our leadership in this dynamic space,” the co-founder and CEO of Phoenix Group, Bijan Alizadehfard remarked during the announcement. “Partnering with titans like Bitmain and [Microbt] equips us with the best tech, fuels our growth, and redefines the future of efficient and sustainable mining.”

Phoenix’s recent strategy corresponds with the ongoing bitcoin mining rig arms race, particularly as the network halving nears. Numerous ASICs, amounting to tens of thousands, have been ordered from leading manufacturers such as Bitmain, Microbt, and Canaan. This week, Cleanspark revealed its acquisition of 60,000 S21 miners from Bitmain, retaining the option to purchase up to 100,000 additional units. Similarly, Riot Platforms secured 66,500 units from Microbt and holds the option to add another 75 exahash per second (EH/s) of mining capacity.

What do you think about Phoenix’s latest deal with Bitmain? Share your thoughts and opinions about this subject in the comments section below.