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DCG Launches Fortitude Mining, Diversifying Crypto Mining Strategy

Coin WorldThursday, Jan 30, 2025 6:23 am ET

1min read

BTC -0.61% FSM -- HUT -- MARA -- RIOT --

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Title: Digital Currency Group Launches New Altcoin Mining Subsidiary, Fortitude Mining

Digital Currency Group (DCG), a venture capital powerhouse, has launched a new cryptocurrency mining subsidiary, Fortitude Mining, as part of its strategy to diversify and strengthen its position in the mining sector. The announcement was made on Jan. 29 through an X social media post.

Fortitude Mining emerges as a standalone mining business, having previously operated under Foundry, a decentralized mining and staking service. The restructuring appears to be part of DCG’s broader strategy to refine its mining operations and enhance institutional investment opportunities in the sector.

The newly formed entity is led by Andrea Childs, who previously held a leadership role at Foundry. Childs joined Foundry in 2020 and now heads Fortitude Mining as its CEO. The transition marks a significant development in DCG’s approach to Bitcoin mining, emphasizing operational independence and strategic scaling.

Foundry currently operates the largest Bitcoin mining pool, controlling over 30% of the network’s hashrate, far surpassing that of China’s Antpool, which holds a distant second position with 17.8% of the network’s hashrate. The spinout of Fortitude suggests an effort to optimize Foundry’s core operations while creating a distinct entity focused on institutional-grade crypto mining.

This development follows Foundry’s decision to lay off 16% of its US workforce as part of a broader restructuring initiative aimed at sharpening its focus on Bitcoin mining. According to Galaxy Digital, the first half of 2024 saw $460 million in reverse mergers and acquisitions within the mining sector, a trend expected to continue throughout the year. Meanwhile, Architect Partners has highlighted a surge in mergers and acquisitions among Bitcoin miners as companies seek to expand their data center capacity and leverage cheaper energy sources.

Bitcoin Miners Shift Strategies Post-Halving

Publicly traded miners have been adapting to the post-halving landscape by diversifying their operations. Major firms such as MARA Holdings, Riot Platforms, and Hut 8 have opted to retain more of their mined Bitcoin rather than immediately liquidating holdings. This strategy aims to capitalize on potential long-term

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Ogulcan0815

01/30

$MARA this afternoon is going to be 🔥🔥🔥

AdCommercial3174

@Ogulcan0815 What makes you so bullish on $MARA?

Masonooter

$RIOT getting intense 💪💪💪💪💪💪💪💪https://media.tenor.com/IcgEv-vXACkAAAAM/i-am-so-happy-to-jump-into-the-tonado.gif

btcmoney420

$MARA has 84 million short shares that need to be bought back, think about that

OneTrickPony_82

$MARA this will never happen

surveillance_raven

$RIOT ECB rate cuts could help crypto as people look for alternative investments in a low-interest era.

-Joseeey-

$MARA AmericanDeams suddenly talking about MARA? Might have opened a short position. Risky move considering the 45% drop from recent highs, with both MARA and BTC consolidating. Keeps mentioning CEO without proof or evidence, just spreading false information. Meanwhile, it's likely you know when BTC will rise next, and with earnings, this could easily break out. People will focus on "largest American BTC miner" instead of looking into what Fred is doing. If they dig deeper, they'll find the total MARA BTC holdings, which is bullish.

moneymonster420

@-Joseeey- I had a chance to buy MARA last year but passed. Now I'm stuck watching it consolidate. FOMO is real here.

Fidler_2K

@-Joseeey- How long do you think MARA will hold its BTC? Any specific target in mind?

BenGrahamButler

$RIOT Buying calls, adding to them for long term

yeahyoubored

$MARA Generally, if a stock follows an asset that keeps rising, you'd expect your investment to do well too. Not so quick. Fred Thiel, an amateur CEO, set things up so he and the management team get special shares even if the company doesn't perform. The stock price doesn't have to go up because they just keep giving themselves shares, benefiting themselves at shareholders' expense. Fred Thiel might end up on the show 'American Greed' in a few years

Witty-Performance-23

$RIOT might drop to 13 or go red

Howell--Jolly

$MARA sure everyone gets that it moves but the big players control and short to balance. We all know that. Not sure why you made up the 69% figure for this month though. That could hurt your credibility as a sycophant like 2024 worst crypto trader of the year @Cryptoklepto

Sensitive_Chapter226

@Howell--Jolly Not sure about the 69% figure either, but MARA's moves are def notable. Big players do have more control, and it's all about balancing acts in this volatile space.