Crusoe Energy, a bitcoin miner, has sold 50 BTC ($1.3 million) of future revenue on Block Green, a newly launched liquidity platform. Block Green is a marketplace where liquidity providers can buy future hashrate, or computing power, over a specified period of time. The platform includes “know-your-miner” information about the miner’s financials and operations. The Crusoe transaction is the largest to date on the platform, while another one for 7.5 BTC of Merkle Standard’s hashrate closed this week.
Under the deal, Crusoe will direct bitcoin rewards from 220 petahash/second (PH/s) of mining over 90 days to Swissborg, a Switzerland-based crypto exchange. Block Green CEO and co-founder Sebastien Hess said the platform is “offering attractive and scalable yields to bitcoin holders,” which has “triggered a lot of demand from institutions holding bitcoin” given that bitcoin yields offered elsewhere remain low. Crusoe CEO and co-founder Chase Lochmiller added that the “biggest challenge with hashpower sales has been finding natural buyers,” and Block Green has “prioritized finding holders of bitcoin who are looking to find a way to generate a yield.”
The platform currently hosts 40% of the largest publicly traded bitcoin miners and is onboarding more every week. It is also working on a sustainability evaluation framework for miners’ operations. According to Hess, there is a “growing demand for green BTC among LPs, who are even willing to pay a premium for it.”