American Bitcoin Raises $220 Million for Mining Expansion

American Bitcoin, a crypto venture backed by Eric Trump, has successfully raised $220 million to fund its Bitcoin mining operations. The funds will be primarily used to purchase Bitcoin mining equipment, as revealed in a recent filing by Hut 8 Corp. This significant investment underscores the company's commitment to expanding its industrial-scale Bitcoin mining capabilities and strategic Bitcoin reserve development.

The funding round included the sale of approximately $10 million in equity, which was transacted in Bitcoin rather than traditional currency. This move highlights the company's strategic approach to leveraging cryptocurrency for its financial operations. According to the filing, the net proceeds from this funding will be used to support American Bitcoin's strategic goals, which may include the purchase of additional Bitcoin and mining equipment.

American Bitcoin, launched in March, is a subsidiary of Hut 8 Corp. and focuses exclusively on large-scale Bitcoin mining and the development of strategic Bitcoin reserves. The company's strategic direction aligns with the views of Donald Trump Jr., who previously stated that mining Bitcoin presents a significant opportunity under favorable economic conditions, surpassing the benefits of simply buying the cryptocurrency.

In addition to its mining operations, American Bitcoin is pursuing a Nasdaq listing through a full stock merger with Gryphon Digital Mining. Following the merger, Eric Trump, Donald Trump Jr., and existing shareholders will retain 98% of the shares in the newly formed entity. The combined company will operate under the American Bitcoin brand and is expected to trade on the Nasdaq under the ticker symbol “ABTC.”

Hut 8 Corp., the parent company of American Bitcoin, is also planning to diversify its operations by expanding into new markets. The company has identified Dubai as its next mining destination, attracted by the city's crypto-friendly environment. This expansion is part of Hut 8's broader strategy to tap into new opportunities and strengthen its global presence in the Bitcoin mining industry.