Australian bitcoin mining company Bitcoin Group announced the issue of 100 million new shares which it will trade on the Australian Securities Exchange (ASX). The beginning of trades is scheduled for November 11.

Bitcoin Group is one of the Australia's largest mining operators that assists the global blockchain network by validating approximately 135,000 transactions per day. The company earns about 62 bitcoins every day, according to the corporative website, and currently produces about 1.57 per cent of the world's bitcoins, and operates bitcoin mining equipment at six sites in China and Iceland, Bitcoin Group chairman Andrew Plympton said.

This is not the first time Bitcoin Group announced the plans to raise AU$20 million by selling shares for 20 cents each. The Initial Public Offering (IPO) was planned by the company as early as October 2014. The new announcement claims that $18 million will be invested into bitcoin mining hardware and facilities while $2 million will go on general corporate purposes such as listing costs. If the IPO is successful, Bitcoin Group plans to achieve the level of production of 374 to 551 bitcoins daily. Bitcoin Group will be the second Bitcoin company listed on the ASX after DigitalBTC, a payment processor.

In February 2015 the Australian Securities and Investment Commission (ASIC) prohibited Bitcoin Group Limited from publishing any statements about a potential Initial Public Offering (IPO) on the ASX after the company used WeChat to spread the news. The regulator explained that Bitcoin Group advertised the opening of trading before lodging the necessary documents with the Australian authorities. According to the Bitcoin Group's website, the IPO Prospectus was submitted to ASIC on June 29, 2015. At the time of the announcement share application was planned for 7th July.


Aliona Chapel