International esports organization NIP Group (NASDAQ: NIPG) announced Monday that it has expanded its efforts in cryptocurrency with additional Bitcoin mining operations utilizing what it calls large-scale crypto and high-performance computing infrastructure.
NIP Group will acquire this new mining infrastructure and computational capacity with a combined hash rate of approximately 8.19 EH/s from Apex Cyber Capital Limited, Prosperity Oak Holdings Limited, and other sellers. In return, the company will issue “up to 314,515,762 Class A ordinary shares as consideration, with closing expected by November 30, subject to customary conditions.”
“This transaction demonstrates the speed at which we are advancing our digital infrastructure strategy,” Hicham Chahine, Co-CEO of NIP Group, said in a release. “Building large-scale computing power gives us a stronger foundation to pursue opportunities in high-performance computing, crypto mining and AI applications in gaming and entertainment. As a pioneer among gaming companies establishing significant computing infrastructure, we’re uniquely positioned to explore emerging use cases at the intersection of gaming, esports, streaming, crypto and AI. While we remain committed to our gaming and entertainment heritage, we see computing power as a core enabler of the next stage of our growth.”
The company said in Monday’s announcement that this expansion brings its total mining capacity to approximately 11.3 EH/s, projecting 160 Bitcoins per month being generated, “subject to the global network hash rate. The company expects this to create significant new revenues. Bitcoin is currently valued at $107,447.98 USD per BTC, according to Coinbase.
NIP Group announced its initial plan to get into the business of cryptocurrency mining in July.
NIP Group is an esports and gaming company formed in 2023 through a merger between Ninjas in Pyjamas and Chinese esports organization ESV5, which includes eStar Gaming. NIP Group currently has operations in Sweden, China, Abu Dhabi, and Brazil, and has business operations in several sectors, including esports, entertainment, and now cryptocurrency.