Swan Bitcoin, a BTC-focused financial services firm, has unveiled its new mining business unit called Swan Mining. The unit has already reached a computing capacity of 160 megawatts (MW) or 4.5 exahashes per second (EH/s) since its inception in the summer of last year, operating in stealth mode until now.
With over $100 million in investments to date, Swan Mining aims to expand its operations and plans to increase its computing power by 44% by March. The mining unit has been backed by institutional investors and aims to raise more capital to fund its growth.
📢‼️⚒️ SWAN MINING IS HERE 📢‼️⚒️
We've been working hard on a big opportunity that came our way last year, and today, we're excited to bring our mining operation out of stealth mode.
We're mining around 4.5 EH — closing in on 1% of the network — with equipment in hand to…
— Swan Media (@Swan) January 25, 2024
Rapha Zagury, Chief Investment Officer at Swan and head of the mining project, highlighted the combination of financial expertise and operational excellence in the business model. Investors contribute their own capital to the mining unit in exchange for priority in initial payouts and ongoing participation in generated profits.
The launch of the program is particularly relevant at a time when the industry is gearing up for a crucial event in the world of Bitcoin: the Halving. This event involves halving the rewards miners receive for validating transactions, increasing competition in the sector. Many miners are adopting strategies to acquire more efficient equipment and assets to maintain profitability after the halving.
Swan Successfully Navigates the Crypto Winter and Gears Up to Boost Operations Ahead of Bitcoin Halving
Despite the challenges faced by miners during the crypto winter, characterized by a direct correlation between earnings and the price of Bitcoin. Swan Mining capitalized on the recent recovery in BTC prices, partly driven by the approval of BTC exchange-traded funds. The company intends to accelerate its expansion and aims to increase its computing power, reaching 8 EH/s. The firm has already acquired and received the necessary mining equipment to achieve this goal this year.
In terms of performance, the mining unit extracted over 750 bitcoins through its seven operational mining sites. With three additional sites in the development process. Swan, the parent company led by Cory Klippsten, raised over $205 million in capital last year. The company plans to conduct another round of financing in the coming months. Aims to go public within the next 12 months.
