BitFuFu Stock Rises 13% on 80K Miner Agreement with Bitmain

BitFuFu, a cloud Bitcoin mining company based in Singapore, saw its shares soar by 13% on January 2 after announcing a major deal with mining hardware leader Bitmain. 

The two-year agreement will see BitFuFu purchase up to 80,000 Bitcoin miners, including the high-performance S21 XP and S21 Pro models, which will be delivered in flexible batches. The deal also includes partial payment in BitFuFu shares, reflecting the strong partnership between the two firms.

Source: Google Finance

Leo Lu, Chairman and CEO of BitFuFu, emphasized the strategic significance of this deal, stating that it would support the company’s global expansion and its goal to add 1 gigawatt in mining capacity by 2026. 

The new miners will strengthen both BitFuFu’s self-mining and cloud-mining services, offering energy-efficient, cost-effective solutions to customers.

BitFuFu, which currently manages 26.2 EH/s in hashrate and operates 17 mining farms worldwide, has already attracted attention with its recent acquisition of an 80-megawatt mining facility in Ethiopia. With over 450,000 users and strong backing from Bitmain since 2021, BitFuFu is positioned to grow its mining infrastructure.

The 13% surge in BitFuFu shares, now trading at $5.60, reflects investor optimism about the company’s future prospects. Additionally, BitFuFu holds 1,664 BTC in its treasury, valued at approximately $161 million.

This strategic move positions BitFuFu for continued growth in the competitive Bitcoin mining industry.