‘SDIG’ will be the new ticker for Stronghold Digital Mining’s new Nasdaq Global Market listing.
Coal to Coin
Stronghold Digital Mining, a bitcoin mining company, powered by waste coal, has filed an S-1 form with the U.S. Securities and Exchange Commission (SEC) for a $100 million initial public offering (IPO) on the NASDAQ exchange.
The Pennsylvania-based miner brings an impressive environmentally conscious reputation. Stronghold converts waste coal––residue material from coal mining–– into clean energy that can help counter the narrative that blockchain mining is harmful to the climate.
In the form filed with the SEC on July 27, Stronghold Digital Mining stated several growth strategies, and there was an indication as to what the funds could be used for:
“Continue to opportunistically source new miners through our multiple procurement channels to accelerate our business plan and increase our mining capacity.”
An initial public offering or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also retail investors, the typical purpose is to raise funds. IPOs often act as a step to mainstream recognition and backing by companies and businesses.
The IPO by Stronghold represents a step by American miners to carve out a portion of the mining opportunities left open by recent Chinese closures. Stronghold looks to take a firmer grip on the mining by increasing their miner capacity and obtain mainstream acceptance by listing as SDIG.
Some Dank Hash
Other interesting facts set out in the S-1 file see the firm detail its capabilities:
Stronghold Digital Mining currently operates around 1,800 crypto asset mining computers with hash rate capacity of roughly 85 petahash per second (PH/s).
Since April 1st, the company has concluded three deals with several suppliers to gain more than 27,300 additional miners with a total hash capacity equal to over 2,600 PH/s.
For those wondering, the hash rate is the measuring unit of the processing power of the Bitcoin network. More simply, a hash is part of a calculation that is needed to verify a bitcoin transaction. 1 Petahash, also written 1 PH/s, is 1,000,000,000,000,000 (one quadrillion) hashes per second.
For context, it takes 2.7 Quadrillion hashes calculated to generate a BTC. Stronghold is handling some serious capability!
Difficult Move for Security
The crackdown from Beijing has caused ramifications across the globe. The resurfacing of Chinese miners outside of China and expansion of mining facilities in North America will see mining difficulty increase.
Fear not, for this is a good kind of difficulty. Mining ‘difficulty’ typically describes the hardship behind mining and the relative rewards for the endeavor.
Increased difficulty means miners have to use more computing power, and therefore see less profit. Here’s the kicker, though: the more mining machines are online, the higher the difficulty and the more secure the Bitcoin network.
Stronghold Digital Mining’s latest move fits firmly within the narrative of more effective, more secure, and more eco-friendly mining. The firm seeks to add 27,300 more miners.
Stronghold converts clean and green energy into power capable of mining bitcoin. With regulators classifying waste coal as alternative energy, we can understand Stronghold’s lure.
Source : bsc.news
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