The financing from Foundry will enable Core Scientific and its clients to continue shifting global mining operations to North America
Core Scientific, the largest digital mining operation in the U.S., announced it has partnered with Foundry to receive up to $23 million dollars in financing for Core Scientific and its clients’ mining equipment. The financing from Foundry provides Core Scientific and its clients the opportunity to expand capacity for mining machines in North America. Foundry is a wholly owned subsidiary of Digital Currency Group (DCG).
Foundry has provided Core Scientific’s clients with $11 million in mining equipment financing and provided Core Scientific with up to $12 million for mining equipment. This $23 million investment made by Foundry is one of the largest financing deals in the mining industry this year. DCG has committed to investing $100 million into Foundry through 2021.
Core Scientific will continue to use this financing to expand its mining fleet in its locations throughout North America. The financing being provided to Core Scientific helped play an important role in Core Scientific’s substantial 17,000-unit order the company placed with Bitmain earlier this year, which at the time of purchase, was the largest order Bitmain had sent to the U.S. As only a finite number of mining machines are available, and many are located in places such as China or Southeast Asia, Core Scientific’s ability to expand its fleet means more mining machines, and therefore more hashpower, will shift to being hosted in North America.
Kevin Turner, CEO of Core Scientific, said: “DCG is a powerhouse in bitcoin and blockchain known for their support of industry innovation. Foundry’s investment will allow Core Scientific to continue expanding in North America while providing more hashpower to our existing and future clients. This is a partnership between two of the biggest names in the mining industry and will further establish North America as a leading destination in the mining space.”
Mike Colyer, CEO of Foundry and former Core Scientific executive, said: “Prior to joining Foundry, I led business development efforts at Core Scientific, where I was able to witness firsthand how the company is pioneering innovation in blockchain infrastructure. We’re very confident in the organization and its goal, which is why we’re making a significant investment into the cryptocurrency mining industry with Core Scientific.”
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