Digital Currency Group (DCG) has spun off a new crypto mining subsidiary, Fortitude Mining, signaling a big move into altcoin mining. Announced on Jan. 29, Fortitude is now separate from Foundry, DCG’s well-known Bitcoin mining and staking operation. The new subsidiary is led by Andrea Childs, who previously played a key role at Foundry since 2020, according to Cointelegraph.
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Foundry Focuses on Bitcoin as Fortitude Diversifies
Foundry may still hold the crown for the largest Bitcoin mining pool, controlling over 30% of the network’s hashrate, but the spin-off of Fortitude is part of a strategy shift. Foundry has been doubling down on its core Bitcoin operations, recently cutting 16% of its U.S. workforce to streamline its focus.
Fortitude Isn’t just about Bitcoin
Fortitude isn’t just about Bitcoin. In a press release, the company emphasized its broader ambitions, stating, “We are return maximalists, not Bitcoin maximalists.” Fortitude plans to scale up its operations by acquiring more mining rigs and facilities. Their main aim is to institutionalize mining in emerging ecosystems.
The crypto mining industry has undergone significant restructuring following Bitcoin’s fourth halving event in 2024. Analysts expect further mergers and acquisitions as smaller players struggle with tighter margins. According to Galaxy Digital, the first half of 2024 saw $460 million in mining-related M&A activity, with larger miners hoarding Bitcoin instead of selling it.
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