Compass has announced a 75 megawatt (MW) hosting alliance with Compute North for its data center in Granbury, Texas, just weeks after announcing staff layoffs and salary cuts.

The announcement on July 21 comes only two weeks after the company laid off 15% of its workforce and incorporated salary cuts for its top executives to weather tough market conditions.

It also comes on the heels of the resignations of key executives such as CEO Whit Gibbs and chief finance officer Jodie Fisher in late June, as well as the closure of one of its Maine-based hosting facilities due to alleged missed payments on utility bills and hosting fees.

The expansion includes plans to deploy 25,000 application-specific integrated circuits (ASIC) miners, along with a variety of next-generation Bitcoin miners, to the existing Wolf Hollow plant site in Granbury. The latest large-scale deployment will begin in August and last several months. 

According to Compass, the facility is cutting-edge, with a 1.1 gigatonne (GW) combined cycle natural gas-fueled plant that uses advanced gas turbine designs and air cooling to reduce carbon emissions and water dependence.

The data center also has a fully curtailable load and can shut down at any time if the demand on the grid exceeds capacity. This expands on existing Compass facilities in the United States, Canada, and Iceland, with major operations in Texas, Ontario, New Mexico, and Florida.

Crypto miners in Texas, on the other hand, have had a difficult month due to the state's record-breaking heatwave, which has put a strain on the energy grid.

Major Bitcoin miners have been operating with the Electric Reliability Council of Texas (ERCOT) to decrease the toll on the grid by momentarily shutting down or lowering their operations in the state.

However, cryptocurrency mining companies flock to Texas, drawn by lower regulatory oversight and energy costs.

Mining stocks reached a one-month high

Following the rapid heat wave affecting local mining operations, publicly traded stocks appear to be performing well, according to NASDAQ data. As of July 22, three of the largest market capitalization are all black.

Marathon Digital Holdings Inc has seen its stock price increase by 99.85 percent in the last month, while Riot Blockchain Inc has increased by 65.65 percent, and Canaan Inc has increased by 42.27 percent.

At the time of writing, Bitcoin (BTC) had reached a one-month high of $22,938.

Source:
https://cointelegraph.com/news/compass-mining-to-add-25-000-asic-miners-just-weeks-after-staff-cuts

Posted 
Jul 22, 2022
 in 
Crypto News
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