South Korea’s Bitplanet plans to launch Bitcoin mining operations in Oman and Paraguay as it tries to build recurring BTC▲$62,630.00 production.
Bitplanet, a South Korea-based Bitcoin treasury company, said it signed a memorandum of understanding with Nasdaq-listed Antalpha and mining ecosystem partners to enter Bitcoin mining.
Under the plan, outlined in a press release, Bitplanet will deploy 15 billion won (roughly $10 million), in Bitcoin mining equipment in Oman and Paraguay, citing competitive electricity costs as reasons for the locations.
The first phase is expected to produce just about 7 BTC/month and more than 80 BTC/year, though the final output would likely depend on equipment uptime and network difficulty.
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Bitplanet’s Bitcoin Mining Adds Production to Treasury Strategy
The mining initiative extends Bitplanet’s approach towards Bitcoin acquisition in addition to acquiring it from the open market.
Therefore, the partnership between Bitplanet and Antalpha isn’t limited to buying mining machines, but also to develop a channel for creating Bitcoin, instead of purchasing BTC through the open market.
Bitplanet positions itself as one of South Korea’s more aggressive corporate Bitcoin treasury names. According to data from Bitcoin treasuries, Bitplanet holds 300 BTC as of now and ranks 77th among Bitcoin corporate treasuries.
The company previously set a long-term target of building a 10,000 BTC treasury.
Crypto mining adds a harder risk profile because Bitplanet now has to manage equipment, hosting and repairs in a market where spot hashprice is around $28-$29 per PH/s per day, roughly 23% below the $36-$38 range CoinShares described in Q1 as near breakeven for many miners.
Read more: SBI Crypto to Shut Bitcoin Mining Pool Launched in 2021
