LM Funding Expands Bitcoin Mining Business
08 September 2022 - 10:30PM
LM Funding America, Inc. (NASDAQ:LMFA) ("LM Funding" or
"LMFA") announced that it has entered into a hosting
agreement with Core Scientific to host and operate 1,200 bitcoin
mining machines with the potential to expand. This agreement
represents LMFA’s strategic initiative of diversifying amongst well
capitalized hosting companies and geographic
facilities. This announcement is in addition to LMFA’s
active hosting agreement with Compute North for 4,200 miners to be
operated at their Wolf Hollow, TX facility.
Also, LMFA announced today that it is taking advantage of the
opportunistic pricing environment by purchasing an additional 400
S19J Pro Miner Machines (S19J Pro) (100 TH/s) from Bitmain for a
total purchase price of approximately $1.26 million. This brings
LMFA’s total miner fleet to over 5,400 machines purchased. The S19J
Pro is a high efficiency, high hash rate machine mining SHA-256
algorithm produced by Bitmain that generates a hash rate of 100
TH/s.
Bruce M. Rodgers, Chairman and CEO of LM Funding, commented,
“Last year we pivoted our business to Bitcoin mining as Bitcoin
neared record highs. We purchased 5,000 machines and the
purchase price adjusted downward as the price of Bitcoin declined
in 2022. We are taking advantage of some of the liquidity
created by our earlier contracts, and today’s favorable mining
machine prices, to increase our projected total hashrate by the end
of the year to 544 Petahash. We believe in Bitcoin’s long
term growth and are committed to acquiring Bitcoin
efficiently.”
About LM Funding America
LM Funding America, Inc., together with its subsidiaries, is a
technology-based specialty finance company that provides funding to
nonprofit community associations (Associations) primarily located
in the state of Florida, as well as in the states of Washington,
Colorado and Illinois, by funding a certain portion of the
Associations' rights to delinquent accounts that are selected by
the Associations arising from unpaid Association assessments. LMFA
has also entered into the cryptocurrency mining business through
its subsidiary, US Digital Mining and Hosting Co., LLC.
Forward-Looking StatementsThis press release
may contain forward-looking statements made pursuant to the Private
Securities Litigation Reform Act of 1995. Words such as
“anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan,”
and “project” and other similar words and expressions are intended
to signify forward-looking statements. Forward-looking statements
are not guaranties of future results and conditions but rather are
subject to various risks and uncertainties. Some of these risks and
uncertainties are identified in the company's most recent Annual
Report on Form 10-K and its other filings with the SEC, which are
available at www.sec.gov. These risks and uncertainties include,
without limitation, uncertainty created by the COVID-19 pandemic,
the risks of entering into and operating in the cryptocurrency
mining business, the capacity of our bitcoin mining machines and
our related ability to purchase power at reasonable prices, the
ability to finance our planned cryptocurrency mining operations,
our ability to acquire new accounts in our specialty finance
business at appropriate prices, the need for capital, our ability
to hire and retain new employees, changes in governmental
regulations that affect our ability to collected sufficient amounts
on defaulted consumer receivables, changes in the credit or capital
markets, changes in interest rates, and negative press regarding
the debt collection industry. The occurrence of any of these
risks and uncertainties could have a material adverse effect on our
business, financial condition, and results of operations.
Contact:Crescendo Communications, LLCTel: (212) 671-1021Email:
LMFA@crescendo-ir.com
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