Hut 8 Corp. has initiated American Bitcoin Corp, a majority-owned subsidiary aimed at industrial-scale Bitcoin mining and reserve development. This comes after the company strategically decided to contribute nearly all of its ASIC miners to American Data Centers, Inc., gaining a majority stake. Originally supported by investors such as Eric Trump and Donald Trump Jr., the company was renamed American Bitcoin after this transaction.
According to an official press release, all Bitcoin mining operations previously under Hut 8’s Compute segment will now operate under the American Bitcoin brand while remaining within the same segment. Initially, American Bitcoin’s results will be integrated into the crypto mining company’s financial reports. Hut 8 will exclusively partner with American Bitcoin for infrastructure and operations, aiming to secure steady revenue through long-term contracts in its Power and Digital Infrastructure sectors. American Bitcoin aspires to become the largest and most efficient Bitcoin miner worldwide and aims to build a strategic Bitcoin reserve.
Eric Trump, Co-founder of American Bitcoin, expressed his excitement about the partnership, stating, “It is a great honor to partner with Hut 8, a recognized leader in the Bitcoin space, as we launch American Bitcoin. By combining Hut 8’s proven operational excellence in data centers with our shared passion for Bitcoin and decentralized finance, we are poised to strengthen our foundation and drive significant future growth.”
The board of directors will include Mike Ho, Asher Genoot, Justin Mateen, and Michael Broukhim. The mining company will provide exclusive ASIC colocation and managed services to American Bitcoin, along with day-to-day management through a shared services agreement.
This development follows Eric Trump’s recent joining of Metaplanet’s Strategic Board of Advisors. Additionally, Donald Trump’s efforts to position the US as a key player in the crypto industry continue through the family’s initiatives. Besides American Bitcoin, they have launched World Liberty Financial (WLF), which has invested $85 million in cryptocurrencies and is considering introducing a stablecoin.
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