Mentioned:
There’s a new Bitcoin mining company being formed. And it’s backed by Hut 8, Eric Trump and Donald Trump Jr.
What’s happening:
- Hut 8 (NASDAQ: HUT) and Eric Trump and Donald Trump Jr have partnered together to launch a new Bitcoin mining company known as American Bitcoin
By the numbers:
- Hut 8 will contribute all of the Bitcoin mining rigs and hardware in exchange for an 80% equity stake in American Bitcoin
- The other 20% equity stake in American Bitcoin will be owned by American Data Centres, which is a subsidiary of Dominari Holdings (NASDAQ: DOMH)
- Approximately 61,000 ASIC mining rigs will initially be contributed by Hut 8 to ramp up operations
Why it matters:
- Hut 8 is one of the largest publicly traded Bitcoin mining companies in North America and has developed large scale data centre infrastructure globally that has access to low cost electricity
Going deeper:
- Both Eric Trump and Donald Trump Jr have been making a flurry of moves in the public markets lately, including Eric Trump just recently becoming an advisor to Japan based Metaplanet (OTCQX: MTPLF) and Donald Trump Jr previously leading a new SPAC deal for online firearms company GrabAGun
