{"id":15178,"date":"2024-07-12T17:54:43","date_gmt":"2024-07-12T14:54:43","guid":{"rendered":"https:\/\/forklog.com\/en\/core-scientific-and-blocks-300-million-deal-for-bitcoin-mining-chips\/"},"modified":"2024-07-12T17:54:43","modified_gmt":"2024-07-12T14:54:43","slug":"core-scientific-and-blocks-300-million-deal-for-bitcoin-mining-chips","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/core-scientific-and-blocks-300-million-deal-for-bitcoin-mining-chips\/","title":{"rendered":"Core Scientific and Block’s $300 Million Deal for Bitcoin Mining Chips"},"content":{"rendered":"

The transaction for Core Scientific’s acquisition of 3-nanometer chips for bitcoin mining from Jack Dorsey’s Block is estimated to be around $300 million, according to analysts from Bernstein, as reported by The Block<\/a>.<\/p>\n

On July 10, the companies announced a partnership to develop a cryptocurrency mining device based on a chip created by the Proto team of the payment firm. The parties disclosed the volume of ASICs acquired by the bitcoin miner only in terms of hashrate\u2014approximately 15 EH\/s. Core will be the first buyer of the chips.<\/p>\n

Gautam Chhugani and Mahika Sapra from Bernstein calculated the probable monetary equivalent of the deal based on the cost of comparable competitive offerings in the market.<\/p>\n

\n

“However, the details will depend on specific commercial cooperation, as Core is positioned as a development partner, and on the expected efficiency gains compared to the latest devices from Bitmain,” they clarified.<\/p>\n<\/blockquote>\n

In May 2023, Block completed the creation of a prototype 5-nanometer mining chip and less than a year later introduced<\/a> a chip based on the 3-nanometer process.<\/p>\n

Analysts noted that with this deal, the firm enters a market historically dominated by three Chinese companies: Bitmain (with a share of over 80%), MicroBT, and Canaan.<\/p>\n

In their view, any new competition in the field of bitcoin mining chips is beneficial for cryptocurrency miners. It helps keep the cost of new equipment low.<\/p>\n

\n

“Given the growth of American miners scaling operations, diversifying the supply chain beyond China would be preferable for them,” Chhugani and Sapra believe.<\/p>\n<\/blockquote>\n

The chip from Block could “gain recognition” among other industry participants besides Core, they added.<\/p>\n

Back in March 2024, Bitdeer, founded by former Bitmain co-founder Jihan Wu, tested<\/a> a bitcoin mining chip SEAL01 using 4-nanometer technology.<\/p>\n","protected":false},"excerpt":{"rendered":"

The transaction for Core Scientific’s acquisition of 3-nanometer chips for bitcoin mining from Jack Dorsey’s Block is estimated to be around $300 million, according to analysts from Bernstein, as reported by The Block. On July 10, the companies announced a partnership to develop a cryptocurrency mining device based on a chip created by the Proto […]<\/p>\n","protected":false},"author":1,"featured_media":15177,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1346,1271,1137],"class_list":["post-15178","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-block","tag-core-scientific","tag-cryptocurrency-mining"],"aioseo_notices":[],"amp_enabled":true,"views":"91","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/15178","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=15178"}],"version-history":[{"count":0,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/15178\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/15177"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=15178"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=15178"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=15178"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}