- Swan Bitcoin launches Swan Mining with 4.5 EH/s operational, aiming to increase its computing power to 8 EH/s by March.
- The company, with $100 million already invested, plans to expand and go public in the next 12 months.
Swan Bitcoin has unveiled its new bitcoin mining unit, called Swan Mining, just as the parent company prepares to go public. This mining unit aims to reach a power of 8 exahashes per second (EH/s) and already has 4.5 EH/s operational, having started operations in the summer of 2023.
Swan Bitcoin’s mining unit expects to increase its computing power by 44% by March. Swan Mining has already received more than $100 million in investment and is looking to raise more funds for expansion. The parent company plans to go public in the next 12 months.
Bitcoin financial services firm Swan Bitcoin has inaugurated its new bitcoin mining business unit, Swan Mining, which already has 160 megawatts (MW) or 4.5 exahashes per second (EH/s) of computing power up and running. Swan Bitcoin has been operational since the summer of last year and had remained in stealth mode, according to a statement shared with CoinDesk.
The mining unit has been funded by institutional investors, raising more than $100 million so far. The company intends to raise more capital to expand its operations, a Swan spokesperson told CoinDesk .
“We bring financial expertise and operational excellence, while our investors provide equity capital to our mining unit in exchange for priority first payments and continued profit sharing,” said Rapha Zagury, chief investment officer at Swan and head of Swan Mining.
The timing of the launch of this new unit is notable as the industry is expected to become more competitive this year due to the Bitcoin halving event, which will halve mining rewards. To prepare for this event, many miners are rushing to order more efficient equipment, and some are buying assets to be profitable after the halving.
Miners have faced a tough crypto winter, as their income is directly correlated to the price of bitcoin. At the low point of the bear market, many large miners, such as Core Scientific (CORZ), filed for bankruptcy, and others barely survived.
However, the recent rally in the bitcoin price, aided by the bitcoin spot ETF, has improved the economics of mining and even seen companies, such as Core, emerge from bankruptcy.
Swan Mining has taken this opportunity to rapidly expand its operations. It aims to increase its computing power by 44% or 8 EH/s by March. The company has already purchased and taken delivery of the mining equipment needed to achieve this goal this year .
“Swan Mining developed and deployed at an impressive speed,” said Zagury. “Our understanding is that this is the fastest initial hash rate deployment at this scale in Bitcoin history.”
The firm has mined more than 750 bitcoins across its seven operating mining sites in and outside the U.S., the Swan spokesperson added, and mentioned that three additional mining sites are currently under development.
Swan Bitcoin, the parent company, is led by Cory Klippsten and raised $205 million in capital last year. The company intends to raise another round of funding in the coming months and expects to go public in the next few months.
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