Canadian bitcoin miner Bitfarms buys 1,000 BTC for $43 million

Bitfarms has added 1,000 BTC to its bitcoin holdings, with the total outlay costing $43.2 million, the company announced on Monday.

The latest BTC acquisition sees the Canadian crypto mining outfit holding 4,300 BTC, an increase of about 30% from its previous bitcoin treasury balance. Monday’s announcement comes less than a fortnight after Bitfarms secured a $100 million loan from Galaxy Digital Holdings.

According to the company’s statement at the time, the credit facility did include a $60 million drawdown at 10.75% interest per annum.


Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

As of Q3 2021, Bitfarms reported its cash and cash equivalents to be about $43 million, almost the exact sum spent in acquiring the 1,000 BTC. The company did, however, state that the size of Monday’s bitcoin purchase was in line with similar acquisitions in Q3 and Q4 2021.

Bitfarms, like other North American bitcoin miners, has stockpiled BTC as operations in the region benefitted from the East-West shift in hashrate dominance. This strategy that has characterized this increased bitcoin accumulation has come on the back of increased mining presence and debt financing.

As of the start of Q4 2021, North American bitcoin miners held over $1 billion worth of BTC.

About Author

Osato is a news reporter at The Block as part of the crypto ecosystems team that focuses on DAO governance, staking, blockchain layers, and DeFi. He was previously a news reporter at Cointelegraph. Based in Lagos, Nigeria, he enjoys crosswords, poker, and attempting to beat his Scrabble high score. Follow him on Twitter at @OsatoNomayo.