Benzinga | Dec 17, 2021 08:03AM EST

Future FinTech Reports Deal To Build Crypto Mining Farm In US, Total Investment $62M

Future FinTech Group Inc. (NASDAQ: FTFT) ("hereinafter referred to as "Future FinTech", "FTFT" or "the Company"), a leading blockchain-based e-commerce business and a fintech service provider, announced today that the Company signed a Cooperation Agreement (the "Agreement") with APC Service Ltd. ("APC") to establish a joint venture in Ohio, to build a cryptocurrency mining farm with a first project phase of 50MW of processing power, which, if successful, could be expanded to a total project size of 300MW. When the first phase of the 50 MW mining site is completed, it is projected that it will deploy approximately 12,000 S19 Antminers and accommodate about 1.3 EH/s of hash power.

The Company will first establish a wholly-owned subsidiary, to be called FTFT Super-computing that is authorized to conduct business in Ohio to invest in, develop and operate the cryptocurrency mining farm. As per the Agreement, APC has the option right to purchase up to 30% of FTFT Super-computing within 365 days of the completion of first phase of the mining farm. The overall capacity of the cryptocurrency mining farm project is projected to be 300MW which will consist of a build-out of 50 MW of processing power each over six expansion phases.

The total investment for the FTFT Ohio cryptocurrency mining farm project is estimated to be $62 million, with each of the six stages of the project projected to be $10 million per expansion phase; however, $12 million is being allocated for the first phase of the project for the acquisition of the site, plant development and the upgrading of the power system. APC has identified the project site that has an existing facility for the first phase of the project, which is expected to be completed by June 2022.