Located in Shanghai Fundamental Labs, managing blockchain assets, is planning to invest 300 mln Yuan ($44 mln) in purchase of new equipment for bitcoin mining.
And this summer it will launch from 20 to 30 thousand devices, in order to catch the seasonal preferential rates in the south-western provinces of China, Bitcoindoubler2x has found out.
In Fundamental Labs they consider mining being one of key directions and invest not only in equipment, but also in existing farms and pools.
At the current moment the price for old models of Antminer S9 in the secondary market in China has raised to $250-$300. This has happened because of increased demand on the eve of seasonal electricity discounts. At the same time bitcoin network hashrate has grown.
Fundamental Labs Bets at the Long-Term Mining Activity
Nevertheless, Fundamental Labs isn’t interested in purchase of used equipment. As they bet at the long-term perspective of mining activity. This year the company is going to attract 1 milliard Yuan ($150 mln) totally under its initiative to mine bitcoin.
Let’s add, Fundamental Labs manages investment portfolio of $500 mln. In particular, the company owns shares in American Coinbase and some amount of BNB tokens from Binance. Key company`s investors are Chinese family offices and traditional business.
According to company’s representatives, in the future mining will turn into institutional activity, and retail miners will be driven out of the market.
Probably, Fundamental Labs intends to purchase Antminer S17 from Bitmain and new models from InnoSilicon and MicroBT.