BitFuFu shares rise 13% after securing 80K miner deal with Bitmain
BitFuFu, a cloud Bitcoin (CRYPTO:BTC) mining firm based in Singapore, has seen a 13% increase in its share price following the announcement of a two-year agreement with Bitmain to purchase up to 80,000 Bitcoin miners.
The deal, disclosed on January 2, will allow BitFuFu to acquire the latest S-series Bitcoin miners from Bitmain, including the S21 XP and S21 Pro models, which are known for their higher hashrate.
According to BitFuFu, the miners will be delivered in batches with flexible payment options, including partial payments made in BitFuFu shares.
“Our deep strategic partnership with Bitmain ensures a steady supply of the latest miners to rapidly expand our mining infrastructure globally with a target of adding 1 gigawatt in capacity by the end of 2026,” stated Leo Lu, the chairman and CEO of BitFuFu, emphasised the significance of the agreement.
The new equipment will be used to enhance BitFuFu’s self-mining operations and cloud mining services, providing cost-effective and energy-efficient solutions.
BitFuFu, which received early investment from Bitmain in 2021, currently manages a hosting capacity of 556 megawatts and has a hash rate of 26.2 EH/s.
The company operates 17 mining farms globally, with a significant presence in the United States, and has over 450,000 registered users.
In an effort to diversify its infrastructure, BitFuFu acquired an 80-megawatt mining facility in Ethiopia in October 2024.
Following the announcement, BitFuFu’s shares rose to $5.60, marking a 13% increase in value.
The company also holds 1,664 BTC in its treasury, which is worth approximately $161 million at current market prices.
