According to Form 8-K filed with the US Securities and Exchange Commission (SEC) on Monday, Cipher Mining will buy 28,000 to 56,000 next-generation Bitcoin miners from Bitfury for $6,250 per setup.
With a maximum cost of $6,250 per hardware, Cipher’s Bitcoin mining hardware costs can range from $175 million to $350 million, depending on whether the company decides to take delivery of all 56,000 rigs as described in the purchase agreement.
The full inventory order will be delivered in seven monthly shipments from Summer 2022 to December 2022.
As part of the SEC implementation, Cipher Mining will pay an upfront fee of $10 million within three business days of the launch of the mass order signing agreement.
As previously reported by Cointelegraph, Cipher Mining plans to reach 745 megawatts of bitcoin mining capacity by the end of 2025.
In March, the company entered into a $2 billion merger with Good Works Acquisition Corp.
Cipher Mining is also backed by investors such as Fidelity Management and Research and Morgan Stanley’s Counterpoint Group.
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The cost range of the company’s planned Bitcoin mining rig is in line with the rapidly expanding policy of crypto miners in North America.
Cryptocurrency mining companies in the US are buying more and more hardware from major manufacturers such as Bitmain and MicroBT.
According to the Cambridge Bitcoin Electricity Consumption Index, the United States currently accounts for more than a third of the global distribution of BTC rates.
Cipher Mining Technologies Inc. In a basic service and delivery agreement with blockchain giant Bitfury to purchase Bitcoin (BTC) mining hardware.