The new substation will power DMG’s crypto mining activities as well as its mining-as-a-service operation.
DMG Blockchain Solutions, a publicly traded Canadian cryptocurrency and blockchain company, announced it is installing an 85-megawatt transformer and electrical substation to power the expansion of the company’s cryptocurrency mining facility.
When completed, DMG’s flagship mining facility will be among the largest in North America and will allow the company to further expand its mining-as-a-service capacity (MaaS). Deployment of the new 85-megawatt substation will increase DMG’s hosting capability by more than 20 times.
According to the company press release, the new facility will become operational and connected to the utility power grid this September.
“Building and managing a cryptomining operation at an industrial scale requires a world-class supply chain as well as direct access to local government and electricity providers,“ said Sheldon Bennett, DMG’s COO. Our management team at DMG is unique in that we have the experience, the relationships, and the capital backing to do this successfully.”
DMG will use the new facility for its own mining needs and for its MaaS clients. As per the company website, the hybrid approach allows DMG to scale at a faster pace than a pure mining model.
DMG offers Bitcoin MaaS service, with plans to include Litecoin hosting in August. The company boasts ASIC miners with >10% efficiency improvement vs the industry leading bitcoin miner. The mining service is sold in units of 8.5 PH/s.
The main target clients of DMG are investors and groups of investors who want to mine bitcoin at an industrial scale, but do not have the equipment and knowledge to set up and run a crypto mining operation. With the MaaS service, the interested parties can rent both, for a fee.
While DMG is among the largest companies offering MaaS for large industrial-scale crypto mining operations, there are many companies who target the retail miners. Most of the companies offering MaaS solutions have set up shop in countries with a cool climate and cheap energy like Canada, Iceland and Norway.