700 Miners Expected to Generate 56 PH/s (petahash) of Hashing Power, Equal to 117% of the Company’s Current Hashing Power
LAS VEGAS, May 11, 2020 (GLOBE NEWSWIRE) -- Marathon Patent Group, Inc. (NASDAQ:MARA) ("Marathon" or "Company"), one of the few Nasdaq listed cryptocurrency mining companies in the United States, today announced the purchase of 700 next generation M30S+ ASIC Miners from MicroBT.
The 700 miners produce 80/Th and will generate 56 PH/s (petahash) of hashing power, compared to companies current S-9 production of 46 PH/s. These next generation MicroBT ASIC miners are markedly more energy efficient than our existing S-9 Bitmain models. The company paid $1,277,455 and the purchase was funded with cash on hand. The company expects to take delivery at our Hosting Facility by the end of May and our hosting partner, Compute North, expects to install them within 48 hours of their arrival.
The M30S+ is one of the latest generations of bitcoin (“BTC”) Application Specific Integrated Circuit (“ASIC”) miners from MicroBT. It can achieve 100 TH/s at 34J/T and has already proven to be highly stable. The units come with a 1-year warranty versus the industry standard 6-month warranty.
Merrick Okamoto, Chief Executive Officer, stated, “We are excited to add these advanced next generation miners at the same time Bitcoin prices have recently experienced substantial appreciation and are testing the psychological $10,000 level. We believe this investment, combined with our lean operating structure and recently improving Bitcoin prices, positions us well prospectively. As we approach the Halving, we will wind down the production of our substantially less energy efficient S-9 Bitmain miners and continue to add more advanced next-generation mining equipment if Bitcoin prices maintain price levels which allow our miners to operation profitably.”
The bitcoin blockchain and the cryptocurrency reward for solving a block is subject to periodic incremental halving. Halving is a process designed to control the overall supply and reduce the risk of inflation in cryptocurrencies using a Proof-of-Work consensus algorithm. At a predetermined block, the mining reward is cut in half, hence the term “halving”. For bitcoin, the reward was initially set at 50 bitcoin currency rewards per block and this was cut in half to 25 on November 28, 2012 at block 210,000 and again to 12.5 on July 9, 2016 at block 420,000. The next halving for bitcoin is expected on May 12, 2020 at block 630,000 when the current 12.5 reward will reduce to 6.25. Many factors influence the price of bitcoin and potential increases or decreases in prices in advance of or following a future halving is unknown.