On May 26, it has been reported that the program will help family offices and other institutional funds diversify their portfolios into digital asset infrastructure, as Bitfury said that this was previously an arduous task for these investors.
However, the investment will be possible in data centers in North America and other unspecified regions through custom-tailored investment solutions. These may include direct investment and engagement through private equity in joint ventures, though the company declined to go into detail on how the arrangements would work.
Bitfury opens up to institutional investors who want to diversify their holdings in crypto https://t.co/dibb9ctf6w — Cointelegraph (@Cointelegraph) May 26, 2020
It has been analyzed that Bitfury will manage all aspects of the operation, including site sourcing, equipment procurement, and maintenance, as the company claims to be using the most advanced equipment for mining, and it owns subsidiaries developing cooling and microchip solutions that serve its mining installations.
Likewise, its data centers are located in Canada, Norway, Iceland, and Central Asia having access to electricity prices of “$0.03 per KWh and lower.”
Breaking news: Bitfury has launched its institutional investor program, designed to help accredited investors and family offices diversify their portfolios into digital asset infrastructure around the world! Read more in @Forbes @ForbesCrypto: https://t.co/kOx6NPHutB — The Bitfury Group (@BitfuryGroup) May 26, 2020
For investing in Bitcoin mining, companies let institutions gain exposure to the crypto market by owning a stake in a traditional company, without worrying about crypto custody.
Thus, the company’s fortunes will strongly depend on the trend of the cryptocurrency market, while still having clearly definable valuation metrics.