Despite the cancellation of the merger between Gryphon Digital Mining and sphere 3d, the two companies remain intent on building carbon-neutral Bitcoin mining operations.
A joint statement Monday from the two cryptocurrency mining companies revealed that canceling the merger was a mutual decision “due to changing market conditions, the passage of time, and the relative financial positions of the companies.” The cancellation will apparently not stop either company from moving forward with their plans to build carbon-neutral Bitcoin (BTC) mining facilities.
The merger, announced in June 2021, would have made the two companies one under the Gryphon name. It would also have made Gryphon a publicly traded company, as Canada-based Sphere 3D already trades under the ticker ANY on the NASDAQ.
Gryphon claims to be the first carbon-negative cryptocurrency miner by acquiring 500,000 carbon offset bonds. Neither Sphere 3D nor Gryphon responded to comments about how they achieved net neutrality.
The firms already have a close working relationship that Gryphon CEO Rob Chang said he looks forward to “mutual success for both companies.” Gryphon manages Sphere’s mining fleet of 1,000 devices, and Sphere expects to increase that fleet by 59,000 devices by June of this year. Gryphon controls 7,200 proprietary computers placed by blockchain infrastructure provider Core Scientific.
Last July, Gryphon acquired 7,200 Antminer miners worth about $48 million, which helped increase its hash power by about 720 petahashes per second (PH/s).
The environmental impact of Bitcoin mining has been the focus of regulators around the world. Mining in carbon-neutral facilities could help avoid some of the criticism caused by Bitcoin mining, such as increased noise pollution and electrical system failures.
The state of New York, one of the largest contributors to America’s hash power, is considering suspending cryptocurrency mining. to give your environmental agency time to study the impact of this activity on the environment.
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