Core Scientific has reached a tentative agreement to sell its Cedarvale mining site in Texas to Celsius for $14 million, effectively putting an end to their legal dispute. This deal includes the transfer of the partially developed data center site, which has 215 megawatts of available power, as well as the buildings under construction, equipment, and designs necessary to complete the facility.
The agreed-upon value of Cedarvale is $45 million, but the final transaction price is set at $14 million. It’s important to note that this sale does not impact Core Scientific’s existing mining fleet.
For the agreement to be finalized, approval is required from the Southern District of Texas and the Southern District of New York. Once approved, both companies will mutually release each other from any existing litigation, effectively resolving the legal battle that began in October.
The dispute started when Core Scientific accused Celsius of failing to pay its bills. Meanwhile, Celsius claimed that Core Scientific did not fulfill its end of the agreement by deploying rigs as promised.
As of August 31, Core Scientific operated approximately 206,000 bitcoin miners for self-mining and colocation services. These miners represent a total potential hash rate of 22.0 exahashes per second across the company’s data center facilities in Georgia, Kentucky, North Carolina, North Dakota, and Texas.
This development signifies a positive step for both Core Scientific and Celsius as they aim to put their legal disputes behind them. The agreement will allow Celsius to benefit from the Cedarvale mining site’s potential, while Core Scientific can continue focusing on its mining operations without the burden of the legal battle.
Moving forward, the completion of this sale and the resolution of the dispute will pave the way for stability and growth within the crypto industry. It highlights the importance of clear agreements and effective communication between parties to avoid friction and legal complications.
In a market that is constantly evolving and experiencing rapid growth, collaboration and cooperation are key to unlocking the potential of crypto mining and ensuring mutual success for all industry players.
