The funding round of Blockstream was led by Kingsway Capital and supported by blockchain investors, like Cohen & Company Capital Markets. With this round, the company raised $125 million for Bitcoin mining. This is another big leap since the company’s previous fundraising in August 2021.
In a statement by the company, Blockstream claims it will use the funds to increase its Bitcoin mining capacity in order to meet the strong demand for its institutional hosting services.
The team has seen an influx to its hosting services because of its strong track record and substantial scale, coupled with an industry-wide shortage of available power capacity.
In 2021, Blockstream raised $210 million, and the funds were also used to strengthen the company’s mining facilities as well as to acquire Spondoolies to enable it to launch mining on an enterprise scale.
Back encouraged stakeholders in the crypto world to embrace non-custodial and decentralized Bitcoin-based smart contracts like liquid so as to completely control and secure their funds.
Blockstream’s CEO, Dr. Adam Back, emphasized the need for the kind of self-custody (using hardware wallets) that Liquid’s simple contracts offer – a truly helpful security protocol since the mantra “not your keys, not your coins” became a popular chant in the community following the FTX saga.
About Blockstream
Blockstream has established its brand as one of the world’s biggest Bitcoin mining companies at the forefront of futuristic financial technology. With innovative cryptography and state-of-the-art security engineering, the company’s members are thinking long-term and creating reliable efficient technology that makes transactions traceable – while maintaining the anonymity and autonomy that blockchain is known for. Their core specialty is R&D to improve the Bitcoin ecosystem and protocol.