Poolin nets another $10 million via bitcoin hashrate token sales backed by institutions


Poolin, one of the world's largest bitcoin mining pools, has announced that several notable crypto VCs have invested $10 million in its proprietary bitcoin hashrate token.

The firm said on Monday that it has issued another 100,000 units of its pBTC35A token with a lock-up period of 30 days to institutional backers including Three Arrows Capital, Hashkey, Fenbushi, FBG Capital, IOSG, Mindfulness Capital and Ledger Prime.

Each pBTC35A is backed by one terahashes second (TH/s) of computing power racing on the bitcoin network with a power efficiency of 35 watt per TH/s.

The sales comes weeks after Poolin sold a first batch of 100,000 units of pBTC35A to retail investors and raised $10 million at the time.

Poolin said the newly raised capital is used to reimburse the cost of bitcoin mining equipment that the firm has placed in advance to power up the tokenized hashrate.

As The Block reported last month, Poolin rolled out a protocol called Mars as an experiment to connect proof-of-work mining with decentralized finance (DeFi).

Investors who stake pBTC35A or the trading pair of pBTC35A against USDT in one of the two liquidity pools on the Mars Protocol can receive rewards in the form of the Mars governance token as well as Wrapped BTC (wBTC).

The calculation is based on the amount of bitcoin that the underlying hash rate can mine at the network's current difficulty after deducting a set electricity cost of $0.058 per kWH and Poolin's 2.5% fees.

Related Reading

Get Your Crypto
Daily Brief

Delivered daily, straight to your inbox.

Why BTG Pactual is launching a crypto platform

Brazil-based BTG Pactual, Latin America’s biggest investment bank, is launching its own crypto asset platform that will initially support bitcoin and ether trading. The platform will be called Mynt and allow customers to purchase bitcoin and ether, BTG Pactual’s Head of Digital Assets André Portilho tells The Block. Eventually, the platform will support other digital […]
Read Full Story
Sep 24, 2021, 9:17PM UTC

TRON USDC now available

Delivering on a vision for an interoperable global standard for dollar digital currency, Circle and TRON have partnered to make USD Coin (USDC) available on the TRON blockchain, which has grown to more than 56 million accounts and nearly 2.5 billion transactions since its founding just four years ago. TRON is home to a broad ecosystem for digital assets in Asia and around the world, and the TRON community can now benefit from easy access to the world's fastest-growing, regulated dollar digital currency. 
Read Full Story
Sponsored Post