The company’s Bitcoin mining rigs, which are hosted in third-party data centres in Kazakhstan, remain operational.
BIT Mining announced that it would invest $9.33million to build and operate a Kazahkstan data center with a power output of 100 megawatts (MW) in May. The company announced this morning that the deal was over during its quarterly earnings report.
According to BIT Mining, the move will not affect the machines that BIT Mining uses to mine bitcoins in third-party data centres in the country.
This is yet another data point that shows the continuing difficulty miners face in Kazakhstan. The national grid operator first rationed electricity to crypto miners and then cut them off completely. CoinDesk reported on Dec. 2 that Bitmain-backed miner BitFuFu had, after weeks of power rationing and disruptions in Kazakhstan, abandoned its mining equipment there and bought new ones in the U.S.
BIT Mining continues to increase its U.S. data center investments, and says that development of its Ohio mine site will be completed by the end of the year. The planned total power capacity for the site will be 150 megawatts.
The company’s Q4 operating results showed that revenue was $495.8million, an increase of 26% over the $393.1 million reported in the three previous months. Deployments of mining machines in Hong Kong, the U.S. and a stronger mining pool business due to rising cryptocurrency prices helped to increase revenue.
According to Vice President Danni Zheng, the company’s Q3 revenue was reduced by $33 million due to a reclassification in commissions charged mining pool customers.
In late morning U.S. trading shares are down 2.6%, and miner peers are also falling along with a 4% drop in bitcoin’s price (BTC).
