BitNile is relocating over 6,500 bitcoin miners as a result of Compute North’s bankruptcy.
Alt Alliance, a diversified holding company, announced that its subsidiary, BitNile, is moving 6,572 bitcoin miners from a hosting facility in Texas to a Michigan data center.
The decision to relocate the miners was made as a result of the Chapter 11 bankruptcy filing of Compute North, which Bitnile had entered into a hosting agreement for 20 MW of power.
The settlement was done in August 2022 and miners were moved to Compute North’s Wolf Hollow hosting facility in Texas. However, following the bankruptcy filing, BitNile determined that the facility was no longer financially viable and began moving the equipment to its Michigan data center, which is expected to be completed by the end of February 2023.
“While this situation is very disappointing, we are moving forward with Compute North through the legal process and we have control of our equipment. We believe the decision to move our mining equipment allows us to move forward with our future deployment plans.” to best execute,” said Milton “Todd” Alt, III, the company’s executive chairman.
With this news, BitNile reiterates its previous report of entering into a purchase agreement with Bitmain Technologies Limited for a total of 23,065 bitcoin miners. The company expects to achieve a mining production capacity of approximately 2.66 exahashes per second once all miners are fully deployed and operational.
However, the company noted that all projections are subject to various factors, including delivery and installation of bitcoin miners, volatility in the bitcoin market price, fluctuations in mining difficulty levels, and Agora Digital Holdings Inc.’s ability to ramp up. Required capital and construction of its power facility in Texas.
