Bitcoin miner Hut 8 announces 1.5GW expansion in the US, stock rises 10%

Bitcoin mining company Hut 8 is building four new Bitcoin mining sites in Texas, Louisiana and Illinois, adding 1.5 gigawatts of capacity as US miners tighten their grip on the global hash rate.

According to a Tuesday announcement, the expansion is aimed at broadening the company's geographic footprint and target markets where “energy demand [is] rising most rapidly.”

Hut 8 shares on Nasdaq soared as much as 10.5% on Tuesday following the announcement, according to Google Finance. The company said its current 1 gigawatt capacity has been 90% taken up.

“By advancing more than 1.5 gigawatts of capacity… we position ourselves to more than double the scale of our platform and address accelerating demand across energy-intensive use cases,” Hut 8 CEO Asher Genoot said.

According to fintech platform OneSafe, US miners control 75.4% of the global hash rate. In 2024, crypto mining created over 31,000 jobs in the United States. Bitcoin miners in the country include CleanSpark, Core Scientific, and Gryphon Digital Mining, among others.

Hut 8 share price. Source: Google Finance

The company described the new facilities as suited for “energy-intensive use cases,” which may include high-performance computing, Bitcoin mining and industrial applications like next-generation manufacturing. Beyond mining, it also supplies energy to the artificial intelligence sector.

Hut 8 is the parent company of American Bitcoin, a Bitcoin mining and treasury company linked to the Trump family. It has facilities scattered throughout Canada and the United States. The majority of its US facilities are located in Texas.

Related: Bitcoin miner Hut 8 grows hashrate 79% despite $134M quarterly loss

State Bitcoin mining regulations amid changing industry

Hut 8 is expanding into states with varying rules on Bitcoin mining, at a time when the industry itself is in transition.

In Texas, “virtual currency mining facilities” with a power of more than 75 megawatts must register with the Public Utility Commission of Texas. The push to register comes as state energy grid concerns mount and tech companies move to the Lone Star State.

In June 2024, Louisiana passed a bill that contained support for Bitcoin miners in industrial areas, seeking to boost the local economy by attracting new businesses. The bill also came with a ban on central bank digital currencies and a right to self-custody.

Illinois has not passed specific cryptocurrency mining regulations, but Bitcoin mining facilities have emerged in places like Bloomington-Normal and Effingham.

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