Trump family-linked media company Thumzup plans to accumulate 3,500 Dogecoin mining rigs and expects to herald as a lot as $103 million in annual income, relying on whether or not Dogecoin hits a greenback.
In a shareholder letter launched on Thursday, Thumzup Media Company revealed that it has executed definitive agreements, pending shareholder approval, to accumulate a Dogecoin (DOGE) mining operation with an preliminary 2,500 rigs and 1,000 extra ordered.
In August, the corporate mentioned it’s pivoting from an adtech platform to cryptocurrency mining via the pending acquisition of DogeHash Applied sciences, which operates the Dogecoin miners.
The mixed firm can be renamed Dogehash Applied sciences Holdings and commerce beneath the ticker XDOG. The agency reported the completion of a $50 million share providing in August.
The agency additionally made daring predictions about utilizing 3,500 Bitmain Antminers to mine Dogecoin. At present costs, the corporate expects an annual income of $22.7 million, and if Dogecoin reaches $1, the agency might make as a lot as $103 million in annual income, it said.
DOGE is presently buying and selling down on the day at $0.214 and stays down greater than 70% from its 2021 all-time excessive.
Dogecoin mining extra worthwhile than Bitcoin mining
Thumzup cited publicly traded miner BIT Mining, which reported in December that its Dogecoin mining operations have been almost thrice extra worthwhile than Bitcoin (BTC) mining alone.
Dogecoin, with a market capitalization exceeding $32 billion and a day by day buying and selling quantity of $1.3 billion, is “probably the most extensively held cryptocurrencies,” it famous.
Associated: Dogecoin’s ‘next wave’ targets $1.40 as first DOGE treasury is launched
Thumzup is framing itself as poised to turn into one of many few publicly traded, utility-scale Dogecoin miners, citing the $10.5 billion crypto mining market projected to greater than double by 2035.
This week, KuCoin announced plans to seize 10% of the Dogecoin mining capability as extra firms flip to various crypto belongings.
Crypto treasury ambitions
Along with Bitcoin, the Thumzup board has licensed holding Dogecoin (DOGE), Litecoin (LTC), Solana (SOL), XRP (XRP), Ether (ETH) and USDC (USDC).
Thumzup holds 19.1 BTC price round $2.1 million, according to BitcoinTreasuries.NET.
Donald Trump Jr., son of US President Donald Trump, purchased 350,000 shares of the corporate, in line with a July submitting. The Trump household connection additionally runs deeper via Dominari Securities, the funding financial institution that has facilitated Thumzup’s fundraising.
Firm inventory (TZUP) was buying and selling up 5.3% on the day, ending the session at $5.57, according to Google Finance. Its shares have fallen closely from their August excessive of over $15, however stay up 62% for the reason that starting of this yr.
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