Estonian IT firm inks $26M crypto mining take care of Bitmain
Estonian know-how conglomerate Burfa is popping to Bitmain to produce key cryptocurrency mining infrastructure to its Narva-based knowledge middle, providing a glimpse into the arms race underway for high-performance computing assets.
The $26 million settlement will enable Burfa to double its data-center capability and safe a gentle provide of processing gear over the approaching months. The industrial sector is going through an acute scarcity of specialised GPUs and SSDs as extra of those assets get devoured up by crypto-intensive corporations which might be ramping up Bitcoin (BTC) mining through the bull market.
Burfa will begin receiving the brand new gear as early as summer time, the corporate introduced Wednesday.
“There are clear limits to hardware production and this contract places us among a dozen or so major clients in the world who could secure such a large volume of additional resources,” said Ivan Turygin, the chairman of the board at Burfa. “All others will have to wait until the supply chains are restored back to normal or pay a lot more for the equipment on the secondary market.”
He also said that growing cryptocurrency adoption, as evidenced by the now $1.7 trillion digital-asset class, will serve as a boon to Burfa’s expansion plans moving forward.
Burfa was founded in 2013 as a developer of cryptocurrency mining equipment. The company pivoted to high-performance data centers in 2017 before migrating its operations to the Enefit Technology Park, which is the largest in Northern Europe.
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Du Shisheng, the vice president of Bitmain’s mining division, spoke about his company’s long-standing partnership with Burfa:
“The Burfa Group corporations have been our long-term and trusted prospects. This can be the premise for the present contract, making certain that Burfa will get state-of-the-art and best know-how for creating their high-performance knowledge facilities.”
Bitmain is among the world’s largest makers of crypto mining gear. The firm filed for a public itemizing in September 2018 however didn’t observe by way of with its plans. At the time, a publicly-listed Bitmain was earmarked to be value as much as $50 billion.