This article was first published in Miner Weekly, the weekly newsletter of Blocksbridge Consulting.
American Bitcoin Corp (ABTC), a new and unique Bitcoin mining out from Hat8, backed by Eric Trump and Donald Trump Jr., comes into shape as they prepare to go public.
The company recently submitted an S-4 registration statement as part of its merger with Gryphon Digital, providing new insights as it aims to 25 EH/s into new insights into its financial, mining strategy and dependence on Chinese-made hardware.
Officially launched on April 1, 2025, ABTC is a vehicle that Hut 8 is emitted from its self-employed business, allowing the parent company to focus on the power and data center infrastructure. This filing will help explain why Hut 8 has stopped updating its monthly Bitcoin production since April.
In the first quarter of 2025, ABTC mined 135 BTC. This is consistent with what HUT 8 generated from its own operations (excluding its joint venture share) prior to the spinoff. As of May 31st, ABTC had approximately 215 BTC.
ABTC currently owns a hashrate capacity of 10.17 EH/s hosted at a Hut 8 facility featuring a combination of Bitmain’s S21 series and Microbt’s M5X and M6X series minors. But its most ambitious growth lever comes from the 15 EH/s hosting deals originally signed with Bitmain last year. Under the agreement, Hut 8 is working on building a hosting infrastructure tailored to Bitmain’s new U3S21Expph system. Once the buildout is complete, Hut 8 retains the option to purchase the entire hardware set.
Hut 8 had previously withheld details on pricing for the deal when it was announced in September. The S-4 filing reveals that the maximum purchase price for the 17,280 U3S21Expph unit is around $320 million, meaning a cost of about 21/sec before duties and obligations. HUT 8 retains the rights for ABTC to acquire a full batch of machines and promote future growth.
If fully executed, this purchase pass will bring ABTC back on track and place it in Bitcoin miners, which are trading at the top of the world, exceeding capacity of over 25 EH/s.
Another notable disclosure in the filing was the direct production cost of 135 BTC ABTC mined in the first quarter, totaling $11.65 million (excluding depreciation and amortization), or $86,303 per BTC. This diagram reflects average power and maintenance costs more than Hut 8 peers, or is intended to enhance Hut 8 repetitive revenues that are separate from their own mining.
However, ABTC’s growth plans could face geopolitical headwinds. S-4 Filing points to the company’s reliance on imported Bitcoin mining equipment and flags the risk of rising US tariffs on mining hardware created by Chinese companies.
“At this point, the application of the final scope of the recently announced US trade policy remains uncertain, but increased tariffs on imports and subsequent retaliatory tariffs could negatively affect ABTC’s ability to import equipment at cost-effective levels,” the submitting country said.
It is still unknown how the company is going. Americans By that name, it will adapt to such changing geopolitical dynamics, as it relies on Chinese suppliers, at least for now.
This article comes from Theminermag, an industry publication of cryptocurrency mining, and focuses on the latest news and research on the institutional Bitcoin mining company. The original article can be found here.