DMG Blockchain Solutions Inc. (TSX-V: DMGI) (OTCQB US: DMGGF)
(FRANKFURT: 6AX) (“DMG”), a vertically integrated blockchain and
cryptocurrency technology company, announces it has signed an
agreement with Bitmain Technologies to purchase 4,550 T21 190 TH/s
bitcoin miners for US$12,103,000 (US$14/TH/s). Financing of the
purchase may be through existing cash/liquidated bitcoin, debt or a
combination of both.
DMG Purchases Bitmain T21 Bitcoin Miners
for up to 1 EH/s of New Hashrate
DMG expects shipment of its T21 miners in the
March quarter of 2024; terms of the purchase are 10% downpayment
(already paid) with the balance due in the month prior to shipment.
As the T21 natively supports a high-energy (overclocked) mode to
233 TH/s (with a modest decrease in efficiency from 19 J/TH to 22
J/TH), which DMG expects to utilize, the Company may be able to
realize from this purchase up to 1.06 EH/s (subject to equipment
receipt, installation and full operation), which is comparable with
DMG’s current hashrate. Delivery to DMG’s Christina Lake data
center facility is subject to change given macro factors including
but not limited to shipping logistics and customs processing.
DMG is planning to utilize its previously
purchased mining containers, which are in the process of being
installed at its Christina Lake facility in advance of taking
delivery of the T21 miners. This new fleet, in combination with
expected rationalization of its existing fleet, will help DMG
improve its overall fleet efficiency anticipated to be below 25
J/TH post-halvening, which is expected in April 2024.
November 2023 Preliminary Mining
Results
In November 2023, DMG mined 64.7 bitcoin with
0.97 EH/s realized hashrate. DMG’s bitcoin balance as of November
30, 2023 was 429 bitcoin. DMG exited November with 1.07 EH/s of
realized hashrate. The Company is working to improve the operation
of its fleet so that its realized hashrate is closer to its fleet
nameplate hashrate of 1.2 EH/s in the coming months.
About DMG Blockchain Solutions Inc.
DMG is an environmentally friendly vertically
integrated blockchain and cryptocurrency company that manages,
operates, and develops end-to-end digital solutions to monetize the
blockchain ecosystem. DMG’s sustainable businesses are segmented
into two business lines under the Core and Core+ strategies and
unified through DMG’s vertical integration.
For more information on DMG Blockchain Solutions visit:
www.dmgblockchain.comFollow @dmgblockchain on Twitter and subscribe
to DMG’s YouTube channel.
For further information, please contact:
On behalf of the Board of Directors,
Sheldon Bennett, CEO & DirectorTel:
516-222-2560Email: investors@dmgblockchain.comWeb:
www.dmgblockchain.com
Investor Relations ContactCORE IR
516-222-2560
For Media InquiriesJules AbrahamCORE
IR917-885-7378julesa@coreir.com
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
Cautionary Note Regarding
Forward-Looking Information
This news release contains forward-looking
information or statements based on current expectations.
Forward-looking statements contained in this news release include
statements regarding DMG’s strategies and plans, the expected
increase in realized hashrate, the Company’s installation and
operation of additional Bitcoin miners, acquiring additional
Bitcoin mining equipment, plans and goals to increase hash rate,
expected increase in computing power, developing and executing on
the Company’s products and services, increasing self-mining, the
launch of products and services, events, courses of action, and the
potential of the Company’s technology and operations, among others,
are all forward-looking information.
Future changes in the Bitcoin network-wide
mining difficulty rate or Bitcoin hash rate may materially affect
the future performance of DMG’s production of bitcoin, and future
operating results could also be materially affected by the price of
bitcoin and an increase in hash rate mining difficulty.
Forward-looking statements consist of statements
that are not purely historical, including any statements regarding
beliefs, plans, expectations, or intentions regarding the future.
Such information can generally be identified by the use of
forward-looking wording such as "may", "expect", "estimate",
"anticipate", "intend", "believe" and "continue" or the negative
thereof or similar variations. The reader is cautioned that
assumptions used in the preparation of any forward-looking
information may prove to be incorrect. Events or circumstances may
cause actual results to differ materially from those predicted, as
a result of numerous known and unknown risks, uncertainties, and
other factors, many of which are beyond the control of the Company,
including but not limited to, market and other conditions,
volatility in the trading price of the common shares of the
Company, business, economic and capital market conditions; the
ability to manage operating expenses, which may adversely affect
the Company’s financial condition; the ability to remain
competitive as other better financed competitors develop and
release competitive products; regulatory uncertainties; access to
equipment; market conditions and the demand and pricing for
products; the demand and pricing of bitcoins; security threats,
including a loss/theft of DMG’s bitcoins; DMG’s relationships with
its customers, distributors and business partners; the inability to
add more power to DMG’s facilities; DMG’s ability to successfully
define, design and release new products in a timely manner that
meet customers’ needs; the ability to attract, retain and motivate
qualified personnel; competition in the industry; the impact of
technology changes on the products and industry; failure to develop
new and innovative products; the ability to successfully maintain
and enforce our intellectual property rights and defend third-party
claims of infringement of their intellectual property rights; the
impact of intellectual property litigation that could materially
and adversely affect the business; the ability to manage working
capital; and the dependence on key personnel. DMG may not actually
achieve its plans, projections, or expectations. Such statements
and information are based on numerous assumptions regarding present
and future business strategies and the environment in which the
Company will operate in the future, including the demand for its
products, the ability to successfully develop software, that there
will be no regulation or law that will prevent the Company from
operating its business, anticipated costs, the ability to secure
sufficient capital to complete its business plans, the ability to
achieve goals and the price of bitcoin. Given these risks,
uncertainties, and assumptions, you should not place undue reliance
on these forward-looking statements. The securities of DMG are
considered highly speculative due to the nature of DMG’s business.
For further information concerning these and other risks and
uncertainties, refer to the Company’s filings on www.sedarplus.ca.
In addition, DMG’s past financial performance may not be a reliable
indicator of future performance.
Factors that could cause actual results to
differ materially from those in forward-looking statements include,
failure to obtain regulatory approval, the continued availability
of capital and financing, equipment failures, lack of supply of
equipment, power and infrastructure, failure to obtain any permits
required to operate the business, the impact of technology changes
on the industry, the impact of Covid-19 or other viruses and
diseases on the Company’s ability to operate, secure equipment, and
hire personnel, competition, security threats including stolen
bitcoins from DMG or its customers, consumer sentiment towards
DMG’s products, services and blockchain technology generally,
failure to develop new and innovative products, litigation, adverse
weather or climate events, increase in operating costs, increase in
equipment and labor costs, equipment failures, decrease in the
price of Bitcoin, failure of counterparties to perform their
contractual obligations, government regulations, loss of key
employees and consultants, and general economic, market or business
conditions. Forward-looking statements contained in this news
release are expressly qualified by this cautionary statement. The
reader is cautioned not to place undue reliance on any
forward-looking information. The forward-looking statements
contained in this news release are made as of the date of this news
release. Except as required by law, the Company disclaims any
intention and assumes no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events, or otherwise. Additionally, the Company undertakes
no obligation to comment on the expectations of or statements made
by third parties in respect of the matters discussed above.
DMG Blockchain Solutions (TSXV:DMGI)
Historical Stock Chart
From Aug 2024 to Sep 2024
DMG Blockchain Solutions (TSXV:DMGI)
Historical Stock Chart
From Sep 2023 to Sep 2024