- New York based Bit Digital reported that two of its hosting partners took down operation amid a power disturbance.
- The damage from the fire and explosion did not directly impact any mining rigs; it was only the substation providing the electricity highlighted by the firm.
- It plans to seek reimbursement for the lost revenue from mining crypto.
Bit Digital, the New York headquartered crypto mining firm, has recently reported two of its hosting partners ceased operation to over 4,800 rigs after power interference at varied locations.
According to an announcement by Bit Digital, a substation in Niagara Falls was destructed by an explosion and a subsequent fire. And this prompted its partner Blockfusion USA to take approximately 2,515 Bitcoin (BTC) miners and 710 Ether (ETH) miners offline at the site.
It further reported that its digihost partner witnessed a similar power cut to a facility in North Tonawanda, New York. And due to this, 1,580 crypto miners had to go offline.
The crypto mining firm highlights that the fire and explosion damage did not directly impact any mining rigs. It was only the substation providing the electricity. Additionally, Bit Digital did not signify that any mining rigs caused the accident.
Mining Hash Rate Slipped By 46.8%
The firm signified that Blockfusion is in the works with its insurer and the utility to restore power as soon as possible. And that Operations are expected to be resumed within a few weeks, but as of now, there can be no assurances as to timing.
Along with its partners, the mining company has six facilities all across the US, with three in New York and one each in Texas, Georgia, and Nebraska. And because nearly 4,805 have to go offline, the firm reported that its mining hash rate saw a plunge of 46.8%.
The Nasdaq-listed Bit Digital witnessed its share price plunge by over 6%. At the time of writing, it is $1.66.
Source: https://www.thecoinrepublic.com/2022/05/21/bit-digital-hosting-partners-prompted-to-take-over-4k-mining-rigs-offline-amid-flaming-havoc/