Crypto trading bank Galaxy Digital opened a $ 100 million line of credit secured by bitcoin to the Canadian public mining company Bitfarms.
Bitfarms secured a $ 100 million credit facility with @GalaxyDigitalHQ backed by #Bitcoin ($ BTC) pic.twitter.com/We50NdQgh1
– Bitfarms (@Bitfarms_io) December 31, 2021
According to a press release, the firm has already mastered $ 60 million, issued for six months at a rate of 10.75% per annum. The remainder of Bitfarms will receive over the next months.
“The new $ 100 million line of credit adds another component to our diversified finance strategy,” said Chief Financial Officer Jeff Lucas.
Bitfarms will direct funds to bring the hash rate to 3 EH / s by March 31, and up to 8 EH / s by December 31, 2022. According to the company, in mid-November the figure was 2 EH / s.
In October, Bitfarms began construction of a 55,000 miner data center in Argentina. It later announced the acquisition of a 24 MW data center in Washington, USA for $ 26 million.
In the third quarter, the firm mined 1,050 BTC, up 38% from the same period last year. By the end of September, there were 2,312 BTC in its reserves, in December – more than 3,300 BTC.
Recall that in June Galaxy Digital provided a loan of £ 14 million (~ $ 19.4 million) to the British mining company Argo Blockchain secured in bitcoin.