Next Phase Expected to Double Processing Power to Over 5 PetaHash
HARRISON, N.Y., Sept. 13, 2016 /PRNewswire/ -- MGT Capital Investments, Inc. (NYSE MKT: MGT), today reported that its previously announced large scale Bitcoin mining operation has reached full phase one production output with a larger than expected 2.6 PetaHash of processing power. At the present difficulty level, the facility is mining over 90 Bitcoin per month with a value of $55,000. The company is already preparing modifications to expand its processing power to approximately 5.2 PetaHash by the end of the fourth quarter of 2016. The Company's current goal for this facility is to increase the processing capacity to nearly over 10 PetaHash.
With its processing power already in place, MGT is one of the top five Bitcoin mining operations in the U.S. MGT's facility has contracted low cost hydro power and hosting services in central Washington state. The size and power efficiency of the facility has allowed MGT to emerge as a domestic leader. The current pricing environment of bitcoin and other digital assets coupled with the availability of 16 nanometer ASIC chips provides a significant opportunity to generate excellent profit margins.
"The early success of our Bitcoin mining business has quickly provided us with the financial proof of concept to move ahead and implement the next phase of our expansion strategy, with a goal of achieving over 5 PetaHash by the end of the year, and the overall goal of 10 PetaHash for the facility," stated Robert Collazo, Director of Operations for MGT's Bitcoin mining operations.
"The opportunity in the Bitcoin market is tremendous for MGT and is quickly providing a financial benefit for our shareholders. Since announcing the program in July, we have implemented and then ramped up this facility's processing power to 2.6 PetaHash, which we believe makes MGT one of the top five Bitcoin miners in the U.S. We believe our overall goal of 10 PetaHash for this facility would put us in a leadership position in the global Bitcoin network," stated John McAfee, Executive Chairman of MGT.
About MGT Capital Investments, Inc.
MGT Capital Investments, Inc. (NYSE MKT: MGT) is in the process of acquiring a diverse portfolio of cyber security technologies. With cyber security industry pioneer John McAfee at its helm, MGT Capital is positioned to address various cyber threats through advanced protection technologies for mobile and personal tech devices, including tablets and smart phones. The Company is currently in the process of acquiring D-Vasive, a provider of leading edge anti-spy software, and Demonsaw, a provider of a secure and anonymous file sharing software platform.
MGT Capital intends to change its corporate name to "John McAfee Global Technologies, Inc." upon closing of the D-Vasive transaction.
For more information on the Company, please visit http://ir.stockpr.com/mgtci.
This press release contains forward–looking statements. The words or phrases "would be," "will allow," "intends to," "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," or similar expressions are intended to identify "forward–looking statements." MGT's financial and operational results reflected above should not be construed by any means as representative of the current or future value of its common stock. All information set forth in this news release, except historical and factual information, represents forward–looking statements. This includes all statements about the Company's plans, beliefs, estimates and expectations. These statements are based on current estimates and projections, which involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. These risks and uncertainties include issues related to: rapidly changing technology and evolving standards in the industries in which the Company and its subsidiaries operate; the ability to obtain sufficient funding to continue operations, maintain adequate cash flow, profitably exploit new business, license and sign new agreements; the unpredictable nature of consumer preferences; and other factors set forth in the Company's most recently filed annual report and registration statement. Readers are cautioned not to place undue reliance on these forward–looking statements, which reflect management's analysis only as of the date hereof. The Company undertakes no obligation to publicly revise these forward–looking statements to reflect events or circumstances that arise after the date hereof. Readers should carefully review the risks and uncertainties described in other documents that the Company files from time to time with the U.S. Securities and Exchange Commission.
KCSA Strategic Communications
Director of Investor Relations
Director of Corporate Communications
MGT Capital Investments, Inc.
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SOURCE MGT Capital Investments, Inc.
Released September 13, 2016