Crypto miner Bitfarms to invest $193M in Quebec

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(Bloomberg) -- Backbone Hosting Solutions Inc., a cryptocurrency mining company, said it plans to invest C$250 million ($193 million) in computing centers in Sherbrooke, Canada.

The facilities will allow the company, known as Bitfarms, to quadruple its computing power and to increase its workforce in Quebec to 330 from 80 by the end of the year, Backbone said in a statement Thursday. The company is an affiliate of Blockchain Mining Ltd.

Quebec-based Bitfarms said it entered into six hydropower purchasing agreements with generator Hydro-Sherbrooke, totaling 98 megawatts. By way of comparison, Hut 8 Mining Corp., a miner backed by billionaire investor Mike Novogratz, has data centers in Alberta that’ll have 60 megawatts of capacity by mid-year. Hut 8 said it’ll secure 220 megawatts capacity across Canada by the end of 2018.

Bitfarms also operates centers in Saint-Hyacinthe, Farnham, Notre-Dame-de-Stanbridge, Cowansville and Magog. the company said.

--With assistance from Doug Alexander

Bloomberg News