Hut 8 and US Bitcoin Join forces to create a new company
Key Points:Hut 8 & US Bitcoin announced that their Boards of Directors unanimously approved a business combination agreement. This agreement will allow the companies to combine in an all stock merger of equals.
Hut 8 Corp. (“New Hut”) or “Combined Company”) will be the name of the combined company and will be a US-domiciled entity.
New Hut is expected to be a publicly traded Bitcoin miner that focuses on economic mining and highly diversified revenue streams.
Hut 8 Mining, a Canadian company specializing in cryptocurrency mining, announced plans to merge with US Bitcoin to create Hut 8 Corp (or New Hut). Hut 8 released a statement on February 7th stating that the boards of directors from the two companies had agreed to a binding agreement to combine their two companies into one company with headquarters in the United States. As a result of the agreement Hut 8 Mining will merge with US Bitcoin (or USBTC) and become subsidiaries of the new company. Stockholders will hold 50% of the new company. Six facilities totaling approximately 825 megawatts are expected to be available for crypto mining operations by the New Hut firm. The five locations will have a self-mining capability of 5.6 exahashes/second (EH/s), and are located in New York, Texas, Canada, and Alberta, Canada.
“Our proven track record of creating shareholder wealth through strategic acquisitions and organic growth, while still maintaining a balance-sheet-first approach, has placed us perfectly to accelerate our growth trajectory through this business combination. Combining Hut 8’s operations and diversified revenue streams, along with US Bitcoin’s scalable mine sites, large hosting business, and industry-leading managed IT operations, not only accelerates our strategy but also positions us to be a strong, U.S.-based player ready and able take advantage of additional opportunities that arise.
Hut 8 will provide USBTC-secured, bridging financing up to $6.5million subject to completion of formal loan paperwork. This controversy has been sparked by noise concerns. The company promotes a new business strategy that profits from managing mining sites. USBTC, in partnership with a major energy company, purchased a 220 MW property at King Mountain, Texas from Compute North, a bankrupt hosting company. The merger is still being approved by the U.S. Courts and Canadian regulators. Hut 8 also stated that USBTC and the City Niagara Falls were involved in a legal dispute. We encourage you to do your own research before investing.Join us to keep track of news: https://linktr.ee/coincuWebsite: coincu.comHaroldCoincu NewsTags: bitcoinHut 8Hut 8 CorpNew HutUS BitcoinUSBTC