US Bitcoin Corp (USBTC), a leading Bitcoin mining company in North America, has announced a major deal with Celsius Network, a crypto lending platform that recently filed for bankruptcy. According to a press release, USBTC will host 8,500 miners owned by Celsius at the USBTC Alpha Site, with an estimated hashrate of 820 petahash (PH).
8500 Miners Will Join Bitcoin Corp
The deal comes after the Fahrenheit LLC consortium, which includes USBTC and other investors, won the bid to acquire the assets of Celsius Network, valued at around $2 billion. Celsius Network has been facing legal troubles and financial difficulties due to the volatile crypto market and regulatory pressure.
USBTC CEO Jason Smith said that the deal with Celsius was a milestone for the company and the industry. He added that USBTC aims to provide economical, sustainable, and industry-advancing mining solutions for its clients and partners.
USBTC is also in the process of merging with Hut 8 Mining Corp, another prominent Bitcoin mining company in North America. The merged entity will be renamed Hut 8 Corp and will have a fleet of over 310,000 miners, including those owned by Celsius.
The merger is expected to create a large-scale, publicly traded Bitcoin miner with diversified revenue streams and strong environmental, social, and governance (ESG) practices.
Celsius Network, on the other hand, has received the court’s approval to start polling its account holders over a new proposal to repay them in Bitcoin (BTC) and Ether (ETH) via a new user-owned company. The proposal is part of the joint reorganization plan submitted by Celsius and Fahrenheit to the court.
The deal between USBTC and Celsius is expected to benefit both parties as well as the Bitcoin mining industry in North America. It will also provide some relief to the creditors and customers of Celsius who have been waiting for their funds to be returned.
