- Block Green and Merkle Standard have formed a partnership to revolutionize the financing landscape of Bitcoin mining.
- The collaboration allows Merkle Standard to utilize Block Green’s platform to hedge future revenue risks and access immediate liquidity at favourable rates.
- Block Green’s innovative platform facilitates mining rewards streaming agreements, offering attractive opportunities for Bitcoin holders and miners.
Block Green, a Bitcoin liquidity protocol based in Switzerland, and Merkle Standard, a Bitcoin mining company based in the United States, have announced a collaboration aimed at changing the Bitcoin mining financing landscape. Due to the partnership, Merkle Standard will be able to use Block Green’s innovative platform to hedge future revenue risks and access immediate liquidity at transparent and favorable rates.
Through its pioneering platform, Block Green is at the forefront of transforming the financing landscape within the Bitcoin ecosystem. They facilitate mining rewards streaming agreements utilizing Bitcoin script and custodial solutions, unlocking attractive opportunities for Bitcoin holders and miners. This transformative approach reshapes the financing dynamics within the Bitcoin ecosystem, giving participants a new way to participate in the market.
Datacenter operators can take advantage of the capabilities of Block Green’s platform to sell exposure to future revenues at a discount, providing a practical financing option that addresses their liquidity needs. At the same time, BTC holders can benefit from the platform, resulting in an attractive BTC native return.
Merkle Standard will sell exposure to 100 PH/s of hash rate for 30 days at 7.5 BTC in upfront liquidity. LPs such as Luxor Tech, a mining software and services company, have filled the trade. Sebastien Hess, CEO at Block Green, “We are excited to partner with Merkle Standard and have them as one of the first clients to use our innovative liquidity solutions. Our platform empowers Bitcoin miners to unlock and access future liquidity and hedge revenue risks, driving growth capital coupled with risk mitigation for sophisticated mining operations.”
According to Holden Guillies, Head of Research at Merkle Standard, “We are excited to collaborate with Block Green and be the first company to publicly announce a hash rate forward sale agreement on their platform. This innovative financial product provides us with a new way to manage risk by hedging mining difficulty while gaining upfront liquidity. This partnership offers an essential tool to effectively plan, operate, and execute within the fast-moving Bitcoin mining industry.”
Block Green is a Bitcoin liquidity protocol that aims to transform the Bitcoin ecosystem’s financing landscape. Founders Fund, Coinbase Ventures, and FJ Labs are among the top investors in the company.
About Merkle Standard
Merkle Standard is a premier digital asset mining company with 2.8 EH and a distinct focus on integrating data center infrastructure into industrial sites with heat repurposing capabilities. Merkle operates a 100 MW bitcoin mining facility in Usk, Washington, and a 40 MW facility in Spartanburg, South Carolina. Merkle is a joint venture partner with Bitmain at its Washington location, and it is proud to have the largest deployment of hydro-cooled Bitcoin miners in North America.