LM Funding America, Inc. Orders Bitmain S21+

Rhea-AI Summary

LM Funding America (NASDAQ: LMFA) has placed an order for 270 Bitmain S21+ mining machines. The new miners, expected to be delivered in March 2025, will be installed at the company's new 15MW Oklahoma Mining site. This addition is anticipated to increase their mining capacity by approximately 58 petahash. Following the relocation of existing machines from storage to the Oklahoma site, the company expects its total active hashrate to reach 562 petahash by January 2025, combining their owned Oklahoma site and hosted mining capacity with Core.

Positive

• Expansion of mining operations with 270 new Bitmain S21+ miners
• 58 petahash increase in mining capacity
• Total hashrate expected to reach 562 petahash by January 2025
• New 15MW Oklahoma Mining site development

Negative

• Capital expenditure required for new mining equipment
• Delayed operational impact with machines arriving in March 2025

Insights

Crypto Mining Analyst

This purchase of 270 Bitmain S21+ miners represents a strategic expansion for LM Funding, with potential significant operational implications. The S21+ miners are among the most efficient Bitcoin mining machines currently available, offering approximately 0.215 petahash per unit (58 PH/s ÷ 270 units). The planned deployment at their 15MW Oklahoma facility alongside the consolidation of existing machines indicates a shift toward operational efficiency.

The projected total active hashrate of 562 petahash would position LMFA as a mid-tier Bitcoin mining operation. However, with the company's current market cap of just $11.9 million, this expansion raises questions about financing and operational sustainability, particularly considering the volatile nature of cryptocurrency mining revenues. For context, at current Bitcoin prices and difficulty levels, 562 PH/s could generate approximately $4.5-5 million in annual revenue before operating costs, assuming optimal conditions and 100% uptime.

In simpler terms: Think of this like a small factory buying new, more efficient machines while also making better use of their existing equipment. The company is betting that these upgrades will help them produce more with less energy, but they're making this investment while being relatively small in their industry.

Tampa, FL, Dec. 27, 2024 (GLOBE NEWSWIRE) -- LM Funding America, Inc. (NASDAQ: LMFA) (“LM Funding” or the “Company”), a cryptocurrency mining and technology-based specialty finance company, today announced a new order with Bitmain for 270 Bitmain S21+ mining machines.

Bruce M. Rodgers, Chairman and CEO of LM Funding commented, “These new miners will be received in March 2025 and will be placed at our new 15MW Oklahoma Mining site. We anticipate that this will increase our total mining capacity by approximately 58 petahash. After we move our existing machines from storage into open slots at the Oklahoma mining site, we expect that our total active hashrate in January 2025 will increase to 562 petahash between our mining capacity at our owned site in Oklahoma and our mining capacity hosted with Core.”

About LM Funding America
LM Funding America, Inc. (Nasdaq: LMFA), together with its subsidiaries, is a cryptocurrency mining business that commenced Bitcoin mining operations in September 2022. The Company also operates a technology-based specialty finance company that provides funding to nonprofit community associations (Associations) primarily located in the state of Florida, as well as in the states of Washington, Colorado, and Illinois, by funding a certain portion of the Associations' rights to delinquent accounts that are selected by the Associations arising from unpaid Association assessments.

Forward-Looking Statements
This press release may contain forward-looking statements made pursuant to the Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan,” and “project” and other similar words and expressions are intended to signify forward-looking statements. Forward-looking statements are not guaranties of future results and conditions but rather are subject to various risks and uncertainties. Some of these risks and uncertainties are identified in the company's most recent Annual Report on Form 10-K and its other filings with the SEC, which are available at www.sec.gov. These risks and uncertainties include, without limitation the risk that the expected benefits from the above-described acquisition to the Company will not be realized or will not be realized within the expected time periods, the risks of operating in the cryptocurrency mining business, uncertainty in the cryptocurrency mining business in general, problems with hosting vendors in the mining business, the capacity of our Bitcoin mining machines and our related ability to purchase power at reasonable prices, the ability to finance our planned cryptocurrency mining operations, our ability to acquire new accounts in our specialty finance business at appropriate prices, the potential need for additional capital in the future, changes in governmental regulations that affect our ability to collect sufficient amounts on defaulted consumer receivables, changes in the credit or capital markets, changes in interest rates, negative press regarding the debt collection industry, and the risk of pandemics such as the COVID-10 pandemic. The occurrence of any of these risks and uncertainties could have a material adverse effect on our business, financial condition, and results of operations.

Contact:
Crescendo Communications, LLC
Tel : (212) 671-1021
Email: LMFA@crescendo-ir.com

FAQ

How many Bitmain S21+ miners did LMFA order in December 2024?

LM Funding America ordered 270 Bitmain S21+ mining machines in December 2024.

When will LMFA receive the new Bitmain S21+ miners?

LMFA will receive the new Bitmain S21+ miners in March 2025.

How much will LMFA's mining capacity increase with the new Bitmain S21+ miners?

The new miners will increase LMFA's mining capacity by approximately 58 petahash.

What will be LMFA's total active hashrate by January 2025?

LMFA expects its total active hashrate to reach 562 petahash by January 2025, combining their Oklahoma site and Core hosted mining capacity.

Where will LMFA install the new Bitmain S21+ miners?

The new miners will be installed at LMFA's new 15MW Oklahoma Mining site.