May 18, 2021

BlockFi Taps Blockstream for Mining Colocation Services

BlockFi joins a growing list of technology companies choosing to host mining operations with Blockstream Mining.

BlockFi Taps Blockstream for Mining Colocation Services

BlockFi, the world’s premier cryptoasset service provider, is now hosting its new Bitcoin mining operations with Blockstream Mining. As a Blockstream Mining partner, BlockFi seeks to complement its financial service offerings and diversify its sources of Bitcoin with Bitcoin mining.

BlockFi will deploy miners at Blockstream’s modular mining facility in Adel, Georgia. With over 300MW of power capacity available to it, the facility is outfitted with the latest advanced power, cooling, and air filtration technology.

Under Blockstream’s end-to-end mining colocation services, BlockFi eliminates the overhead costs of research, construction, and maintenance typically required when starting a large-scale Bitcoin mining operation. By lowering these barriers to entry, Blockstream can expand institutional participation to help strengthen Bitcoin’s network security and further overall decentralization efforts.

“As BlockFi looks to expand our offerings to the mining community and accumulate bitcoin on our balance sheet, mining directly to support the Bitcoin network provides a means to vertically integrate our supply chain while diversifying our revenue streams,” explained Joe Chu, Director, Principal Credit, and Mining at BlockFi. “We wanted to work with one of the leaders in the hosting industry, and Blockstream was at the top of that list with its strong track record of professionalism, reliability, customer service, and machine support.”

The BlockFi mining partnership comes amid several significant rollouts from Blockstream Mining in recent months. In March, financial services company Galaxy Digital elected Blockstream to host its Bitcoin mining operations across North America, and energy infrastructure multinational Aker announced a partnership with Blockstream Mining to explore alternative energy Bitcoin mining. And, last month, Blockstream released its Bitcoin mining security token, the Blockstream Mining Note (BMN), making Blockstream Mining accessible for smaller investors via STOKR.

“Our experience with developing Bitcoin technology and operating mining infrastructure has given us a wealth of expertise to deliver enterprise-class services to clients,” said Chris Cook, head of Blockstream Mining. “We’re thrilled to partner with such a pivotal player in the Bitcoin business community like BlockFi. We look forward to building upon this mining venture with BlockFi to improve the global distribution of Bitcoin mining and further strengthen Bitcoin’s underlying protocol.”