Bitcoin (BTC) miner PrimeBlock announced on Friday that it is merging with 10X Capital Venture Acquisition Corp II. Under the agreement, PrimeBlock is owned by a $1.323 billion company and is expected to close in the second half of the year.
The company has installed self-extracting BTC hardware at a rate of 1.8 hashes per second, which is roughly 0.89% of the total hashrate of the Bitcoin network. According to PrimeBlock, the break even price of mining is $9,000 per coin. In 2020, up to 59% of energy sources were carbon neutral. The company aims to become carbon neutral on a zero basis by 2050.
Last year, PrimeBlock generated $21.8 million in revenue by mining 356.8 BTC. But by 2022, the company expects to generate revenue of $220.1 million, or roughly 3,629 BTC, in part by rapidly increasing mining power to over 10 transactions per second. It also has a small Ethereum (ETH) miner that will be mining 699 of these digital assets by 2021.
Regarding the business agreement, Hans Thomas, Chairman and CEO of 10X Capital, commented:
“The Gaurav team and its management team […] successfully deployed over 110 megawatts of data center capacity and generated over $24 million in revenue in the fourth quarter. They have built strong relationships with key partners […] with a commitment to zero carbon emissions by 2050.”