Nasdaq-listed The9 has signed a joint venture agreement with Kazakhstan cryptocurrency mining firm KazDigital to build a crypto mining site in Kazakhstan, The9 said Wednesday.
- The Shanghai-based company’s non-binding term sheet with KazDigital calls for the two companies to build a cryptocurrency mining site in Kazakhstan with a capacity of 100 megawatts.
- The mining site will be used to deploy The9’s mining machines and potentially mining machines from other companies.
- The construction of the total capacity of the crypto mining site will be completed in four stages. The first stage of 25MW was completed on Sunday, with the remaining 75MW to be gradually completed in the third and fourth quarters and the first quarter of 2022, with installation of 25MW per quarter.
- Both parties will invest their own assets in the venture, with KazDigital investing in assets relating to construction and infrastructure of the mining site and The9 putting in cash or mining machines.
- KazDigital will be responsible for the operation and management of the joint venture once it has launched.
- The9 said it will initially transport 1,000 mining machines to Kazakhstan for a trial operation.