The round led by investment firm Paradigm will fund the expansion of Genesis’ bitcoin mining operations in the U.S. and Nordics.
Bitcoin miner active since 2013 Genesis Digital Assets announced today the raise of $431 million to fund the company’s expansion plans. The round, led by investment firm Paradigm, comes less than two months after the miner’s previous funding round of $125 million.
Former investors also joined the funding round, including NYDIG, Stoneridge, FTX, Ribbit, Electric Capital, Skybridge, and Kingsway Capital, the $2 billion U.K.-based private equity fund that solo-led the previous round in total. Paradigm’s co-founder and managing partner Matt Huang, who joined the Genesis board of directors, commented on the announcement.
“Over nearly a decade, GDA’s team have built what we regard as the most impressive bitcoin mining operation in the world,” said Huang. “They have everything it takes to continue to scale their operations and make bitcoin mining even more efficient, and we’re thrilled to support their mission.”
The newest funding round, one of the largest sums announced by bitcoin mining companies, will empower Genesis to fulfill its many expansion plans. The company said it expects to increase its hashrate capacity significantly over the next 12 months.
The bitcoin miner’s current data center capacity of around 170 megawatts translates into a total hashrate capacity of 3.3 exahashes per second (EH/s), which the company said it plans to increase to nearly 11.9 EH/s in the next year. And the recent abundant investments might enable Genesis to achieve its wild expansion plans.
“As we work towards our goal of bringing 1.4 gigawatts online by 2023, the capital raised from this round will be used to expand our bitcoin mining operations in locations where clean energy is easily accessible,” Genesis CEO and co-founder Marco Streng said. “We’re excited to have strategic investors on board and look forward to executing on our mission together.”
According to the release, Genesis Digital Assets has been a bitcoin mining company since 2013, having built over 20 industrial-scale bitcoin mining farms and mined over $1 billion in bitcoin. In April, Genesis purchased $93 million worth of Canaan ASICS and followed that up with another purchase in June for 10,000 bitcoin mining rigs from the same manufacturer.