NEW YORK (InsideBitcoins) — KnCMiner has announced a $15 million Series B investment, led by Accel Partners with participation from existing investors Creandum, GP Bullhound and private investor Martin Wattin.
The company says it plans to use the new capital, in addition to cash generated through operations, to increase its bitcoin mining capacity and continue to build out its bitcoin-processing infrastructure.
Founded in Stockholm in 2013, KnCMiner began by designing and selling bitcoin mining hardware to third party miners, but has been mining bitcoins directly on an industrial scale since February 2014. In the statement, KnCMiner says it has generated over $100 million in revenue since launch.
KnCMiner also says it has entered the production phase of a 16nm chip with TSMC through its partnership with Alchip.
“We have invested more than $70 million over the last 12 months into building a world-class bitcoin mining operation and plan to invest a further $150 million over the next 18 months as we become one of the key transaction processors within Bitcoin,” said Sam Cole, co-founder and CEO of KnCMiner in a release. “We are delighted to be partnering with Accel in this next chapter, as we continue building our brand and relationships within the Bitcoin and broader financial communities.”
Michiel Kotting, partner at Accel Partners will join the company’s board, while Fred Destin of Accel will join as observer.
“We are excited to back the KnCMiner team, as they have proven to be world class operators in a very dynamic marketplace,” Kotting said in the press release. “We strongly believe in the long-term potential of Bitcoin technology and see large scale miners like KnCMiner playing a crucial role.”