Chinese public telecom provider Coolpad Group allocates $13.5m to buy Bitcoin mining rigs

Shenzhen-headquartered telecommunications equipment company Coolpad Group has announced the purchase of $13.5 million worth of crypto mining rigs.

Coolpad Group, a public Chinese telecom provider listed on the Hong Kong Stock Exchange, said in a regulatory filing it has allocated over HK$106 million (around $13.5 million) to purchase Bitcoin mining rigs as the firm now “actively pursues opportunities in web 3.0 digital currency business.”

As per the document, Coolpad plans to acquire 2,700 crypto mining rigs from Hong Kong-based JingYun Intelligent Technology Limited, with deployment slated for North America. The document doesn’t specify the manufacturer of the equipment. This investment aims to boost Coolpad’s current computing power from 873,000 TH/s to an estimated 1,504,800 TH/s.

You might also like: Make bitcoin mining stocks great again? Trump calls for US mining dominance

The transaction is expected to be completed within three months, the document said.

Coolpad Group initially unveiled its focus towards crypto in early May, revealing a $28 million investment plan aimed at acquiring shares of publicly traded Bitcoin mining companies listed on Nasdaq. The company specified its interest in acquiring shares of entities such as CleanSpark (CLSK), ARK 21Shares Bitcoin ETF (ARKB), Bitwise Bitcoin ETF (BITB), Grayscale Bitcoin Trust (GBTC), and Hashdex Bitcoin Futures ETF (DEFI), among others.

Highlighting the current market trends and the promising future of blockchain technology and crypto assets, Coolpad emphasized in a regulatory filing that investments in listed securities within the crypto sector present an “opportunity” to expand its digital currency business.

Read more: Bitfarms stock up 15% after announcing large-scale mining site

Source