Bitcoin mining manufacturer MicroBT has announced its intention to expand globally, by shifting some of its manufacturing outside of China.
The China-based Bitcoin mining manufacturer said it had partnered with New York-based Foundry Digital LLC and a Southeast Asian company in order to improve global supply chain efficiencies for its Bitcoin mining equipment.
MicroBT Looking To Gain US Market Share
MicroBT says it is moving some production out China to get around the expensive tariffs the US has on Chinese goods.
Although the Southeast Asian company isn’t known, it is contracted to produce and deliver MicroBT’s WhatsMiner equipment, mainly to U.S. investors, who would then save on the 25% tax that would be imposed if it was direct from China.
The Digital Currency Group (DCG) will be one of the main beneficiaries of the new deal. DCG which owns Bitcoin mining firm Foundry will be among the first to receive new batches of MicroBT’s flagship AISCs device: Whatsminer M30S that will be produced in South East Asia.
Foundry provides miner financing and procurement for institutions in North America and offers institutional expertise, capital, and market intelligence in the Bitcoin mining industry.
DCG founder and CEO, Barry Silbert previously said ‘Foundry is bringing critical resources and guidance to an essential corner of the industry, and the company planned to ‘invest more than $100m into its Foundry mining business by providing loans to Bitcoin mining clients as well as buying mining equipment for them in bulk.’
Speaking of the collaboration with MicroBT, Foundry CEO Mike Colyer said,
‘With our collaboration and MicroBT’s upgraded production capabilities, we look forward to continuing to facilitate the timely procurement and delivery of the latest generation Bitcoin mining hardware for our clients, who are institutional cryptocurrency miners in North America.’
MicroBT Following Bitmain’s Get Out Of China Strategy
With the US and China trade war showing no sign of easing, it makes sense for manufacturers to move production out of China.
MicroBT’s new strategy resonates with what its main competitor, Bitmain after it moved some production out of China.
The Beijing-based Bitcoin mining firm outsourced some of its production to a Malaysian manufacturer, which ships Bitmain’s Antminers globally.
But as Bitmain’s internal catfighting goes on causing many problems for ASICs miners biggest producers, MicroBT is quietly catching up.
Author: Pablo Clarke