Blockstream Raises $125M to Expand Mining Operations
Summary
Demand for Blockstreams hosting services remains high due to the companys strong track record and substantial scale, coupled with an industry-wide shortage of available power capacity.Hosting has remained a resilient market segment as compared with prop miners (and their lenders) who have been more directly exposed to bitcoin price volatility and compressed margins.With over 500 Megawatts in its development pipeline, Blockstream is one of the worlds largest bitcoin mining operators. The Liquid Network is a Bitcoin layer-2 network focused on non-custodial trading, secure smart-contracts, and the issuance of digital securities, stablecoins, and other financial products.This fundraise allows us to accelerate the YoY revenue growth we created with our 2021 Series B and continue to build infrastructure for the future Bitcoin economy, said Blockstream President & CFO, Erik Svenson. We remain focused on reducing risk for institutional bitcoin miners and enabling enterprise users to build high-value use cases on the most secure, robust, and scalable blockchain in the world - Bitcoin.Recent events in the broader cryptocurrency industry underscore the value and importance of the work Blockstream is doing in both blockchain development and bitcoin mining.With 2022 being punctuated by multiple large scale centralized party and protocol failures, we believe this has been a learning experience for the market: that the fundamental value of blockchains is in reducing the need to trust third parties, said Blockstream CEO, Dr. Adam Back. Blockstreams sidechain technology (Liquid Network) enables trustless Bitcoin swap settlements and secure, dependable smart-contracts while empowering financial institutions to tokenize assets. Blockstream Jade is an easy-to-use, open-source hardware wallet that offers advanced security for Bitcoin and Liquid assets.