Singapore, SINGAPORE – Bitcoin mining giant Bitfury has been valued at US$1 billion after receiving a US$80 million investment from billionaire ex-Goldman Sachs partner Mike Novogratz’s Galaxy Digital and European venture capital firm Korelya Capital.
The valuation comes after the company launched its sixth generation of chip design, Bitfury Clarke ASIC, developed by the firm to counter Bitmain’s new equipment: the 7nm Antminer. CEO of Bitfury, Valery Vavilov, stated that over the past 11 months the demand for the blockchain and crypto from companies and institutions has considerably grown.
“We see a lot of demand from companies and public institutions to put their services or products in the blockchain—especially in emerging markets, where administrative systems can be very inefficient.” – Valery Vavilov
Bitfury has closed an $80 million private placement – led by @korelyacapital and joined by many others including Armat Group, Macquarie Capital, Lian Group, Jabre, Dentsu Inc., Foyer, MACSF, Argenthal Capital Partners, @novogratz @co_garnier and more. https://t.co/SnX0u0Pbp5
— The Bitfury Group (@BitfuryGroup) November 6, 2018
Founded in 2011, Bitfury is the leading security and infrastructure provider for the Bitcoin Blockchain. Bitfury provides high-performance computing technologies, processing capabilities, and designs some of the most advanced software solutions for governments and corporations to deploy real-life blockchain solutions. The funding will inject momentum to BitFury’s growth, with Dmitry Ufaev, head of the company’s Russian arm adding:
“It is a great day for Bitfury and for the future of blockchain and bitcoin technology […] This private placement will help us pursue many new objectives in Russia and Europe in 2019 in both hardware and software.”
According to Bloomberg, the company is considering an initial public offering in Amsterdam, Hong Kong or London as early as next year. If successful, this would mark Europe’s first major listing in the industry. If it conducts the IPO in the next two years, Bitfury will seek a valuation between US$3 – $5 billion.