Coolpad Group a Chinese telecommunications company invests 135 million in purchasing Bitcoin mining equipment
Shenzhen-based telecommunications company Coolpad Group has recently made headlines with its purchase of $13.5 million worth of cryptocurrency mining rigs.
The publicly traded Chinese telecom provider, listed on the Hong Kong Stock Exchange, disclosed in a regulatory filing its decision to invest over HK$106 million (equivalent to around $13.5 million) in Bitcoin mining rigs. This move comes as Coolpad Group actively explores opportunities in the digital currency business of web 3.0.
According to the official document, Coolpad is set to acquire 2,700 crypto mining rigs from Hong Kong’s JingYun Intelligent Technology Limited, with plans to deploy them in North America. The specific manufacturer of the rigs has not been disclosed. This investment is intended to increase Coolpad’s current computing power from 873,000 TH/s to an estimated 1,504,800 TH/s.
The transaction is projected to be finalized within three months, as stated in the document.
Coolpad Group first hinted at its interest in the crypto sector back in May, when it announced a $28 million investment strategy aimed at acquiring shares in publicly traded Bitcoin mining companies listed on Nasdaq. The company expressed its intentions to acquire shares in 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.
Recognizing the current market trends and the bright future of blockchain technology and cryptocurrencies, Coolpad emphasized in its regulatory filing that investments in listed securities within the crypto sector offer an “opportunity” to expand its digital currency business.
In related news, Bitfarms stock saw a 15% increase following the announcement of a large-scale mining site.
