Canadian mining company Squire Mining is negotiating the deal to buy assets CoinGeek, which has several mining farms in different parts of the world.
As representatives of the Mining company Squire, specializing in cryptocurrency mining using ASIC equipment, conducted exclusive negotiations about the possible acquisition of assets from CoinGeek, the operator of a major mining pool. The estimated purchase price is $45.7 million, the Final amount is still subject to review and adjustments.
The canadian company, at an early stage partnership with CoinGeek, since August, has been negotiating the purchase of 62 440 mining rigs ASIC, located on farms in Canada, USA and Kazakhstan. If the negotiations are successfully completed, the transaction will increase the capacity of Squire Mining approximately 960 000 TH/s.
“Thanks to the acquisition of shares CoinGeek.com and CoinGeek, the deal will provide Squire leading position in the kriptomayning and the company will become the largest global brand in Bitcoin mining. It is expected that this will greatly enhance shareholder value asset Squire, allowing you to climb up in the industrial and commercial business in 2019,” commented Taras Kulyk, head of the Mining Squire.
The cost of war
News of the potential acquisition CoinGeek appeared a few days after the company, a key link in trying to win the hash-the war for control over the network Bitcoin Cash, conceded defeat. Negotiation also takes place in the period when the mining farms are becoming less competitive, and some are closed.
Despite the low-difficulty mining Bitcoin reward per block does not cover the many costs of extraction, especially almost after a year of falling prices. In addition, a large part of Bitcoin mining depends on hydropower, and winter is considered to be a difficult season for the majority of participants in the mining industry.
Even after the official end of the “hash wars” November 26, CoinGeek continued to devote its efforts to support new digital asset BitcoinSV (BSV), the resulting fork Bitcoin Cash, decided to choose its own path of development. However, it is unknown whether and after purchasing a mining farm CoinGeek to support this token.
The fall of the market digital assets also weighed on equities Squire Mining, which decreased from $0.50 in October to recent lows of $0,20.
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Tags: CoinGeek Squire Mining mining