BitFury, a major bitcoin mining hardware producer, announced that they have raised $20 million in new financing. The investment, which will be one of the largest in the bitcoin sector, will improve BitFury’s presence in the international market and will facilitate ASIC (Application Specific Integrated Circuits), semiconductor and server products manufacturing.
The investors involve Crypto Currency Partners, Binary Financial, Queensbridge Venture Partners, ZAD Investment Company and Georgian Co-Investment Fund (GCF).
Jonathan Teo, the former Google employee, former General Catalyst managing director and Snapchat investor, and Bill Tai, Glyde and Scribd board member, provided additional financing.
Valery Vavilov, CEO of BitFury, said: “The success of this funding round validates our strategy and brings us closer to our aspiration of becoming the world’s first publicly listed Bitcoin company.”
Vavilov also said the investment demonstrates the company’s leading market position. He said: “This investment will further accelerate our growth, and we are excited to strengthen our industry leadership with next-generation hardware and services.”
Binary Financial noted that they decided to provide financing due to the the strength of BitFury’s team and technology.
The company commented: “As a trusted broker for large bitcoin transactions, Binary Financial made a strategic investment in BitFury, and we believe BitFury will continue to lead the way for ASIC development.”
The funding is one of the largest in the bitcoin sector today. The previous investments include BitPay’s $30 million Series A and $20 million raised by Xapo wallet provider.
BitFury will further use new funding to construct its facilities in different international locations and develop new opportunities in the growing bitcoin market. The strategy will enable the firm to speed up the production of its ASIC’s and servers. The firm will also explore additional business opportunities in “adjacent” areas.
BitFury not only produces hardware for bitcoin mining, but also for the mining of other digital currencies. Besides selling hardware, the firm also provides fully hosted and managed solutions to professional mining companies.
BitFury is the largest global bitcoin mining operations with datacenters and mining operations in Georgia, Finland and Iceland.
Still, the firm’s footprint can be observed throughout the mining sector, where its products have a significant role in the mining infrastructure operations development.
For instance, MegaBigPower, one of the largest commercial bitcoin operations in North America, uses BitFury rigs to power its warehouse. Meantime, CoinSead, headquartered in Las Vegas, acquired $5 million in the firm’s mining gear for its bitcoin mining clearing house in January.