Digital Currency Group sets up bitcoin mining subsidiary, commits $100M in funding through next year

Crypto venture capital firm Digital Currency Group (DCG) has entered into crypto mining space.

The group has formed a wholly-owned subsidiary called Foundry which provides mining and staking, equipment financing and procurement, and consulting and advisory services. DCG said it has committed to invest more than $100 million into Foundry through 2021.

Foundry is based in Rochester, New York and supports mining operations in North America. “We are a business built by miners for miners, and we are partnering with entrepreneurs who share our mission of advancing the industry and creating a decentralized mining ecosystem,” said Mike Colyer, a former Core Scientific executive and now CEO of Foundry.

Foundry was quietly formed in 2019 and is working with both Bitmain and MicroBT. “Through Foundry’s work and financial support of our end customers, we have been able to ship a significant number of machines into the US this year,” said Su Ke, global sales and marketing director of Antminer at Bitmain.

With Foundry, DCG now operates four subsidiaries, including Grayscale Investments, Genesis and CoinDesk.