Seattle-based mining software company Luxor has closed a Series A funding round led by institutional bitcoin technology and financial services firm NYDIG.
Luxor announced a $5 million funding round on June 9, stating that NYDIG will collaborate with Luxor on a number of mining-related ventures and hashrate-based products.
Also participating in the equity round were mining companies Blockware Solutions, Celsius Network, DPO, Navier and SupplyBit. Several angel investors also participated, along with Bitnomial, Hodl Capital and Routemaster.
According to Announcement, LUXOR and NYDIG aim to help the North American mining industry grow, LUXOR is working on making hashrate a commodity, and NYDIG provides bitcoin investment and technology solutions to insurers, banks, corporations and institutions.
Luxor offers a software solution called Switch that employs profit-switching algorithms designed to maximize earnings by switching between blockchains and locations to capitalize on the best block rewards. Nick Hansen, CEO and co-founder of Luxor, commented:
“Luxor is uniquely positioned to capitalize on the industry’s tailwinds, which continue to drive hashrate into North America.”
The announcement comes as China continues to crack down on crypto mining operations and US lawmakers are growing outraged over bitcoin Pay for ransomware attacks.
As reported by Cointelegraph, China’s dominance over hash rate is waning While the US is growing as mining operations can tap into the abundance of cheap renewable energy in states like Texas.
NYDIG co-founder and CEO Robert Gutman said:
“We believe in Nick’s vision and his team’s ability to drive and accelerate hashrate migration to North America and the development of tools that will strengthen the bitcoin ecosystem.”
On June 4, Cointelegraph reported that several Chinese mining operations were closing shop Demand for further international expansion on the mainland.