Several members of US President Donald Trump’s family are backing a new venture to launch what aims to become the world’s largest Bitcoin mining firm.
Hut 8, a digital asset mining and infrastructure company, announced on March 31 that it is acquiring a majority stake in American Bitcoin, formerly known as American Data Center. The firm was founded by a group of investors including Trump’s sons, Donald Trump Jr. and Eric Trump.
Related: Bitcoin miner Hut 8 argues to toss ‘short and distort’ shareholder suit
As part of the deal, American Bitcoin will take ownership of Hut 8’s Bitcoin (BTC) mining hardware. Donald Trump Jr. said that the entrepreneurs behind American Data Centers have backed their conviction in Bitcoin personally and through business.
The new venture “aims to become the world’s largest, most efficient pure-play Bitcoin miner while building a robust strategic Bitcoin reserve.” Mining operations will remain under Hut 8’s compute segment but will operate through the American Bitcoin brand.
“Mining it on favorable economics opens an even bigger opportunity. We’re excited to bring investors into that equation through a platform engineered to execute on this thesis and deliver real, tangible participation in Bitcoin’s growth.”
Related: Hut 8 tips 66% hashrate boost after deal to buy 31K Bitcoin miners
Strategic shift for Hut 8
Hut 9 CEO Asher Genoot recognized the launch of American Bitcoin as a “pivotal evolution” in the firm‘s strategy. He said that by separating the mining business from the rest of the corporate activities and allowing it to raise its own capital and “align each segment of the business with its respective cost of capital.” He added:
“It evolves Hut 8 toward more predictable, financeable, lower-cost-of-capital segments and establishes American Bitcoin as a pure-play mining platform built for exahash growth, Bitcoin production, and operating leverage.”
The report follows Hut 8 surpassing $1 billion worth of Bitcoin holdings after acquiring 990 BTC for $100 million at the end of 2024. At the time, the company’s total Bitcoin mining stood at 10,096 BTC acquired at an average price of $24,484 per Bitcoin.
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