A Canadian mining firm has decided to quit the gold-digging business and move online in pursuit of a new kind of asset – Bitcoin. According to the research done by the company, the direction is more promising and potentially more profitable.
After selling its entire mining portfolio, MX Gold Corp announced that the proceeds will be used to buy additional 2,000 mining units, which will be added to the currently running mining project of 360 miners.
Dan Omeniuk, CEO of MX Gold stated:
“The low cost of entry combined with strategic connections of the board resulted in the company initiating a small scale cryptocurrency mining operation of 360 mining units that became operational in January 2018.”
Omeniuk stated that the proposed re-orientation of the company will ensure increased profitability and shareholder’s satisfaction:
“As a result of these contributing factors, the board and management strongly believe that the proposed sale of the Company’s mining portfolio to the purchaser and the deployment of that capital into the expansion of its existing cryptocurrency operation is in the best interests of shareholders.”
MX Gold got into mining in January after purchasing hundreds of Avalon Miner 741 devices.
According to recent research by the University of California San Diego, cryptocurrency mining is potentially more profitable than any forms of crypto trading. Danny Huang, the lead author of the study, stated that cryptocurrency miners who liquidate can earn more than speculators who buy cryptos on exchanges.