Bitcoin miner Blockcap closes $75M investment led by Off The Chain, Foundry Digital

Blockcap, one of North America’s fastest-growing Bitcoin (BTC) mining companies, has secured sizable investments from some of crypto’s biggest names, setting the stage for significant expansion in the year ahead.

Off The Chain Capital and Foundry Digital, a subsidiary of Digital Currency Group, contributed to the $75 million haul, Blockcap announced Wednesday. The funding will go toward scaling the company’s mining operations and promoting the continued growth of digital assets in the United States.

Blockcap was founded in 2020 by a group of blockchain veterans. It now commands a fleet of roughly 12,000 machines mining around 7 BTC per day. That figure is expected to grow to more than 30,000 by the end of the year, helping the company expand its hashing power to more than 3.5 exahashes per second. As Cointelegraph previously reported, Blockcap estimates that its mining hardware is valued at $270 million on secondary markets.

Currently, Blockcap accounts for nearly 1% of all Bitcoin network transactions, the company said Wednesday.

Mike Colyer, Foundry Digital’s CEO, said his firm sees “opportunity for long-term growth in Blockcap.”

Brian Estes, Off The Chain’s chief investment officer, said Blockcap’s acquisition of tens of thousands of miners demonstrates “just how massive Blockcap has become.” He explained:

“Mining is the critical infrastructure necessary to ensure the ecosystem progresses and we believe that Blockcap will continue to catalyze the growth of digital assets in cyberspace.”

In addition to expanding its mining operations, Blockcap is looking to promote the mainstream adoption of blockchain technology, especially in the United States. Darin Feinstein, Blockcap’s executive chairman, said:

“We’re excited for what is in store for digital asset mining here, especially the associated benefits of economic growth and job creation.”

China continues to lead the Bitcoin mining industry, though its dominance appears to be smaller than initially believed. As of July 2020, the Asian superpower probably accounted for roughly half of the global Bitcoin mining industry — not 65%, as many believed. At the time, 14% of mining capacity came from the United States.