Blockstream has announced the release of the third version of its Blockstream Mining Note (BMN2), a digital token that lets investors invest in Bitcoin mining. This new token follows European rules and allows people to benefit from the Bitcoin mined by Blockstream over four years.
The Blockstream Mining Note (BMN) is a financial product that allows investors to gain exposure to Bitcoin mining without needing to buy expensive mining equipment or manage the complexities of mining operations.
Essentially, when someone invests in a BMN, they are purchasing a token that represents a share of the Bitcoin mined by Blockstream’s facilities over a set period, typically four years.
Investors can buy these tokens, which are priced at $31,000 for this latest series, and in return, they receive Bitcoin generated from the mining operations.
This setup means that investors can benefit from Bitcoin mining while the actual mining work is handled by Blockstream, which operates mining facilities.
Blockstream, which hopes to raise $10 million in three weeks with this round of tokens, had its previous round of BMN2 started on July 18 and ended on August 12, 2024. Before that, BMN1, the earlier version, raised $7 million and mined over 1,242 Bitcoins, providing up to 103% returns over three years.
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For this BMN2 sale, Blockstream is working with Stokr, a European digital securities platform, and Gemini, a popular cryptocurrency exchange, will handle the Bitcoin for the BMN tokens.
In June, Blockstream announced plans to launch its new Application-Specific Integrated Circuit (ASIC) miner. This development represents the culmination of years of engineering efforts and is a critical step for the company as it aims to enhance its position in the Bitcoin mining industry.
Initially expected to be released in 2022, the launch of the ASIC miner faced delays, but it is now projected to be available in the latter half of 2024. This new hardware is expected to improve mining efficiency and further solidify Blockstream’s reputation as a leader in Bitcoin infrastructure.
