Estonian IT company signs $ 26 million cryptocurrency mining deal with Bitmain

The Estonian technology group, Burfa turns to Bitmain to provide the key cryptocurrency mining infrastructure for its Narva data center. which provides a glimpse into the arms race unfolding over high-end computing resources.

The agreement of With USD 26 million, Burfa can double the capacity of its data center and ensure a constant supply of processing equipment in the coming months. The industrial sector is facing a severe shortage of specialized GPUs and SSDs as more of these resources are being absorbed by cryptocurrency companies that have stepped up their Bitcoin (BTC) mining efforts during the bull market.

Burfa will begin receiving the new equipment from summer, the company announced on Wednesday.

Estonian IT company signs $ 26 million cryptocurrency mining deal with Bitmain
Estonian IT company signs $ 26 million cryptocurrency mining deal with Bitmain

“There are clear limits to the production of hardware and with this contract we are one of a dozen major customers worldwide who could secure so many additional resources”, He said Ivan Turygin, Chairman of the Burfa Board of Directors. “Everyone else has to wait for supply chains to return to normal or pay a lot more for equipment in the secondary market.”

He also said that the increasing adoption of cryptocurrency, as by the digital asset class now valued at $ 1.7 trillion, it will serve as an aid to Burfa’s expansion plans in the future.

Burfa was founded in 2013 as a developer of cryptocurrency mining devices. The company switched to high-performance data centers in 2017 before migrating its operations to Enefit de Narva technology park.

You shisheng, Bitmain’s Vice President of Mining Division spoke about the company’s partnership with Burfa:

“The companies of the Burfa Group have been our trusted customers for a long time. This is also the basis of the current contract, which ensures that Burfa receives the most advanced and efficient technology for the development of its high-performance data centers. “

Bitmain is one of the largest manufacturers of cryptocurrency mining equipment in the world. The company filed an IPO in September 2018, but has not implemented its plans. Back then, a publicly traded Bitmain valued at up to $ 50 billion was expected.

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