Shares of Bit Digital Inc. (BTBT) are trading at $4.98, up 17.73% in premarket trading on Monday. Bit Digital stock declined -7.24% to finish last trade at $4.23. A volume of 1.13 million shares was recorded on the Bit Digital stock last trading day, which is below the 2.58 million shares per day average for the last 50 days. Bit Digital stock is up this morning due to the expansion of a digital partnership.

Which collaboration did BTBT have?

Bitcoin mining company BTBT owns one of the largest fleets among US-listed bitcoin miners with more than 1.9 EH. In addition to its New York headquarters and Miami Beach office, Bit Digital has mining operations in the United States and Canada.

A second strategic co-mining agreement (the “Agreement”) between Bit Digital and Digihost Technology was announced today.

• As part of the Agreement, Digihost will provide certain premises for Bit  Digitalto operate a 100-megawatt Bitcoin mining system. BTBT will operate the system for two years.
• Digihost’s expanded partnership with BTBT will be able to facilitate an additional increase in hashrate of around 2 EH.
• Including the initial collaboration agreement announced on June 10, 2021, this will increase hashrate by approximately 2.4 EH across both companies.
• BTBT Miners will be powered and managed by Digihost in accordance with the agreement.
• As compensation for these services, Digihost and BTBT will participate in a profit-sharing agreement based on a fixed distribution formula after paying Digihost a competitive rate for power.
• BTBT expects to start installing the Miners in January 2022.
• The joint effort between Digihost and BTBT could deliver significant results based on the current Bitcoin metrics through the addition of 2.4 EH to each company’s overall hashrate.
• Digihost’s strategy remains to build its mining infrastructure, vertically integrate green sources of energy, and develop strategic partnerships with leading blockchain companies, while maintaining a focus on becoming an industry leader in sustainable development.

How Bit Digital will be leveraged? 

Bit Digital (BTBT) has contracted to sign this agreement that secures power and hosting sufficient for completing the migration of its current fleet to North America and additional capacity for the anticipated miner purchases. Due to the dislocation of the spot market in China and BTBT’s unique access to that market, the company anticipates significant purchases within the coming months. BTBT’s collaboration with Digihost secures a key element of this opportunity, and it will enable rapid deployment of newly acquired mining hardware.