LM Funding America, Inc (NASDAQ: LMFA) stock price rallied 19%, currently trading around $5.30 as we move into the Wednesday open.
The price rally comes off the back of the latest news announcement by LM, publicizing the further expansion of its cryptocurrency mining enterprise; including a further purchase of 4,000 S19J Pro Antminer Machines, or ‘Bitmain Miner Machines’ from Chinese circuit-chip specialist Bitmain.
The company now has a total of 5,000 machines, totaling an aggregate cost of $31.6 million. LM Funding has paid a deposit for the high-efficiency machines and will be seeking additional financial support for the outstanding balance.
With LM’s total 5,000 antminers, they are estimating a generation of around 100 Bitcoins per month – utilizing 504 petahash of capacity. Hoping to have all machines fully up and running by Q3 2022, they estimate a total of 1,200 Bitcoins by the end of Q3 2023.
Bruce M. Rogers, Chairman and CEO of LM Funding, on their move into cryptocurrency: “In September, we began to purchase Bitcoin mining machines as a cost-effective way to purchase Bitcoin assets at a risk-adjusted exposure to the ecosystem while generating positive operating income”
With Bitcoin on the rise this week, the rally comes as no surprise. More and more investors are turning their heads towards digital currency, with Bitcoin still remaining one of the more favored options. As more institutional investors and finance groups dip their feet in the water, we can expect to see further stock jumps.
LM Funding has lost some of its initial momentum at the time of writing, currently retaining a 10% increase.
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