As Galaxy Digital Holdings tries to increase its exposure to the Bitcoin mining industry, company CEO Mike Novogratz has described the plan to acquire Helios Mining as a “transformational acquisition” for the company.

The crypto investment firm made the announcement on Dec. 28 that it would buy the flagship Argo Blockchain mining operation for $65 million. This transaction was part of Argo’s dramatic move to avoid bankruptcy.

On Dec. 29, Novogratz tweeted about the acquisition, emphasizing that Galaxy strongly believes in the long-term future of Bitcoin and that the firm will continue to scale up its mining operations. Novogratz commented on the fact that Galaxy will continue to increase its mining initiatives.

In his further explanation of the transaction, the Galaxy CEO expressed the company’s unique thesis on how it intends to approach the mining industry, which is as follows: “low cost energy, highly efficient staff” and “buy ASIC miners from low cost”. .”

The most recent findings from the Hashrate Index indicate that the costs of Bitcoin ASIC miners are at lows not seen since at least 2021. The prices of the most efficient ASIC miners have fallen 86.8 percent since they hit their peak. maximum in May 2021.

According to the information provided on its website, the company now manages assets worth a total of $1.9 billion.

Novogratz points out, however, that if the company has Helios with a capacity of 200 megawatts (MW), it will not only be able to operate miners on its own site, but also be able to host other people.

Helios has the potential to scale very well, which would put it in the running to be one of the biggest miners on the market.

An earlier announcement made by Argo Blockchain in May of this year said that the company intended to increase its electrical capacity to 800MW in the next few years.

Furthermore, the company said at the time that it anticipated Helios to achieve a Bitcoin mining capacity of 5.5 exhashes per second by the end of the year, with the possibility of eventually reaching 20 EH/s.

Given that Galaxy also provided Argo Blockchain with a $35 million equipment financing loan in conjunction with the transaction, it would suggest that Galaxy has some cash on hand to spend despite the bear market expected in 2022.