TSXV: CSTR
TORONTO, Oct. 12, 2021 /CNW/ - CryptoStar Corp.
(TSXV: CSTR) (OTCQB: CSTXF) ("CryptoStar" or the
"Company"), a cryptocurrency mining and data centre
operator, is pleased to announce that it has received approval from
the OTC Markets Group Inc. to commence trading on the OTCQB Venture
Market under the ticker symbol "CSTXF" at open of markets on
October 11, 2021. The Company is also
pleased to announce the expansion of its self-mining Hashrate.
OTCQB Venture Market Listing
The OTCQB offers transparent trading in entrepreneurial and
development stage companies that have met a minimum bid price test,
are current in their financial reporting and have undergone an
annual verification and management certification process.
David Jellins, President and
Chief Executive Officer of CryptoStar stated, "We are excited to
begin trading on the OTCQB Venture Market. Trading on the OTCQB
Venture Market will provide the Company with increased access to
U.S. based investors and a much broader shareholder base. U.S.
based investors now have the opportunity to share in the Company's
growth."
U.S. Investors can obtain real-time level 2 quotes and market
information for CryptoStar at
https://www.otcmarkets.com/stock/CSTXF/quote as well as access
current company news and developments.
Operations
- As at October 12, 2021, the
Company has executed Equipment Hosting Agreements for an aggregate
mining capacity of 37 megawatts (MW), with 12 MW of mining capacity
located at its award-winning data centre facilities in Utah, USA and 25 MW of mining capacity to be
deployed in Alberta, Canada in Q4,
2021 and Q1, 2022.
- The Equipment Hosting Agreements executed for an aggregate 12
MW of mining capacity in Utah, USA
are anticipated to contribute annual hosting revenues for the
Company of USD$1.7 million.
- The Equipment Hosting Agreements executed for an aggregate 25
MW of mining capacity to be deployed in Alberta, Canada in Q4, 2021 and Q1, 2022 are
anticipated to contribute annual power and hosting revenues for the
Company of up to USD$13.1
million.
- The Company currently has an aggregate self-mining Hashrate of
89,050 MH/s from GPU miners and 55.4 PH/s from ASIC miners running
at its data centres.
- The 89,050 MH/s and 55.4 PH/s of existing self-mining Hashrate
currently contributes USD$805,449.76
per month in self-mining revenue for CryptoStar. (Source:
https://whattomine.com/ Mining metrics are calculated based on and
ETH - USD exchange rate of 1 ETH = $3,467.27 and a BTC - USD exchange rate of 1 BTC
= $57,350.00 updated at 2021-10-12
11:34:35 UTC).
Future Growth
- The Company plans to continue to further expand its self-mining
inventory of mining hardware. Additional ASIC miners have been
ordered for delivery in Q4, 2021, Q1, 2022 and Q2, 2022 and further
orders for mining hardware will be placed using astute capital
management strategies based upon prevailing market conditions for
delivery in Q4, 2021 and beyond.
- The Company plans to continue to further expand its data centre
operations in Alberta, Canada by
partnering with large cryptocurrency miners seeking operating
locations in North America. The
Company continues to consider and perform diligence on several
potential transactions and opportunities.
Financial Position
- The Company is in a strong financial position and is well
capitalized.
- As at October 12, 2021, the
Company held 273.4 ETH, 54.0 BTC and USD$13.4 million (CAD$16.7
million) in cash.
- Additionally, the Company has made payments and deposits for
ASIC miners, infrastructure equipment and engineering services of
USD$4.5 million (CAD$5.6 million).
Summary
- The deployment of 89,050 MH/s and 55.4 PH/s of existing
Hashrate from GPU and ASIC miners currently contributes
USD$9.7 million in annualized
self-mining revenue for CryptoStar. (Source:
https://whattomine.com/ Mining metrics are calculated based on and
ETH - USD exchange rate of 1 ETH = $3,467.27 and a BTC - USD exchange rate of 1 BTC
= $57,350.00 updated at 2021-10-12
11:34:35 UTC).
- The Company purchased 600 high performance ASIC miners to be
delivered in 6 equal tranches of 100 miners during calendar 2022
commencing in January and ending in June. This will increase the
Company's self-mining Hashrate from ASIC miners by 8.8 PH/s each
delivery month, resulting in a total self-mining Hashrate increase
from ASIC miners of 52.8 PH/s.
- Once deployed, together with the additional 10 PH/s of Hashrate
from ASIC miners to be deployed by November
30, 2021, as announced on September
15, 2021, the Company's total aggregate self-mining Hashrate
from ASIC miners will be 118.2 PH/s, representing an increase in
Hashrate of 190% from the existing self-mining Hashrate from ASIC
miners announced on September 15,
2021.
- The deployment of 118.2 PH/s from ASIC miners would generate
approximately 23.2 Bitcoin per month based on current difficulty
levels. (Source: https://whattomine.com/ Updated at 2021-10-12
11:34:35 UTC).
- The Company has executed Equipment Hosting Agreements for an
aggregate mining capacity of 37 MW which are expected to contribute
up to USD$14.8 million in annual
hosting and power revenues for the Company, with the hosting
services in Alberta, Canada
expected to commence in Q4, 2021 and Q1, 2022.
About CryptoStar Corp.:
CryptoStar has cryptocurrency mining operations with data
centres located in the U.S.A. and
Canada. CryptoStar is currently
dedicated to becoming one of the lowest cost cryptocurrency
producers in North America and a
major supplier of GPU and ASIC miners worldwide.
Neither the TSXV nor its Regulation Services Provider (as that
term is defined in the policies of the TSXV) accepts responsibility
for the adequacy or accuracy of this press release.
Forward-Looking Statements
This news release contains forward-looking statements.
Forward-looking statements can be identified by the use of words
such as, "expects", "is expected", "anticipates", "intends",
"believes", or variations of such words and phrases or state that
certain actions, events or results "may" or "will" be taken, occur
or be achieved. Forward-looking statements include those relating
to CryptoStar's expectation that trading on the OTCQB Venture
Market will provide the Company with increased access to U.S. based
investors and a much broader shareholder base, the expected revenue
and timing to commence the hosting and power services associated
with the Equipment Hosting Agreements, the expected revenue
generating capabilities of the GPU and ASIC miners, the expected
Bitcoin revenue generating capabilities of the ASIC miners, the
time to deliver and deploy the ASIC miners, CryptoStar's plans to
continue to expand its self-mining inventory of mining hardware,
increase its power capacity at its data centres in Alberta, Canada, expand its data centre
operations in Alberta, Canada, to
partner with large cryptocurrency miners and CryptoStar's plans of
becoming one of the lowest cost cryptocurrency producers in
North America and a major supplier
of GPU and ASIC miners worldwide. Forward-looking statements are
not a guarantee of future performance and are based upon a number
of estimates and assumptions of management in light of management's
experience and perception of trends, current conditions and
expected developments, as well as other factors that management
believes to be relevant and reasonable in the circumstances. Actual
results, performance or achievement could differ materially from
that expressed in, or implied by, any forward-looking statements in
this press release, and, accordingly, you should not place undue
reliance on any such forward-looking statements and they are not
guarantees of future results. Forward-looking statements involve
significant risks, assumptions, uncertainties and other factors
that may cause actual future results or anticipated events to
differ materially from those expressed or implied in any
forward-looking statements. Except as required by law, CryptoStar
undertakes no obligation to publicly update any forward-looking
statements, whether as a result of new information, future events
or otherwise.
SOURCE CryptoStar Corp.