NIP Group Buys Bitcoin Miners in 4.47 EH/s Deal as Esports Giant Pushes Deeper Into Mining

October 25, 2026 MM Crypto Team

Esports Giant NIP Group Buys 4.47 EH/s of Bitcoin Mining Power

NIP Group, the Nasdaq-listed parent of esports brand Ninjas in Pyjamas, has signed a definitive agreement to buy Bitcoin mining machines with a combined hashrate of roughly 4.47 exahashes per second, the company announced on October 20, 2026. The machines are already deployed and running at hosting facilities, which means the new capacity should start producing Bitcoin for NIP Group as soon as the transaction closes rather than after months of construction and installation.

The deal is the company’s third tranche of mining hardware purchases and its first announced since 2025. Once all three tranches are complete, NIP Group’s total installed mining capacity is expected to reach approximately 13.85 EH/s, a scale that would place the esports company among the larger publicly traded Bitcoin miners in the world. At full deployment, the combined fleet is expected to generate around 195 Bitcoin per month, worth roughly $16 million at current prices, although that figure depends on network difficulty, the global hashrate and operating conditions.

The announcement underlines how far NIP Group has travelled from its origins in competitive gaming. Barely fifteen months after it first entered Bitcoin mining, the company is assembling a fleet that rivals dedicated miners that have spent years building their operations, and it is doing so with a strategy built on buying machines that are already switched on.

The Deal in Detail: Shares, Sellers and a $27.3 Million Valuation

The structure of the NIP Group Bitcoin miners acquisition is straightforward, and it tells its own story about how the company is funding its expansion. Under the definitive on-rack sales and purchase agreement, dated September 24, 2026, NIP Group will issue up to 247,091,740 Class A ordinary shares to the sellers in exchange for the mining equipment. The company valued the transaction at up to $27.3 million.

Paying in shares rather than cash preserves the company’s cash reserves, which matters for a business that is still investing heavily in its broader digital infrastructure plans. The trade-off is dilution: existing shareholders will own a smaller slice of a bigger company, and the number of shares issued means the market will watch closely whether the new machines earn their keep. The sellers, meanwhile, become significant shareholders in a Nasdaq-listed company rather than simply taking cash for used hardware.

The agreement covers machines described as “on-rack” products, meaning they are already installed in racks at hosting facilities and running. That detail matters more than it sounds. Buying deployed machines removes the two biggest delays in mining expansion: waiting for hardware deliveries and building out power and cooling capacity. NIP Group expects the transaction to complete within 10 business days after the customary closing conditions are met, and the machines should add to its Bitcoin production immediately upon closing.

The sellers were not named in the announcement, which is common in hardware deals of this kind, where the counterparties are often private mining operators or hosting firms rather than household names. What matters to investors is the capacity being bought, not the identity of the party selling it.

From Ninjas in Pyjamas to Mining: NIP Group’s Rapid Pivot

NIP Group’s move into Bitcoin mining began only in July 2025, when the Abu Dhabi-based company established an initial operation with approximately 3.11 EH/s of computing power. By November 2025 it had announced plans to expand that capacity to 11.3 EH/s, and in January 2026 it said its mining capacity stood at 9.66 EH/s and that it had mined 151.4 BTC between September and November of the previous year.

That pace of expansion is remarkable for a company whose core business is digital entertainment. NIP Group describes itself as a company “where digital entertainment meets computing infrastructure,” and its stated long-term vision is to converge that infrastructure with its gaming and esports ecosystem, creating a foundation where computing power, artificial intelligence, high-performance computing and blockchain technology intersect with next-generation entertainment experiences.

The strategy is not simply about mining Bitcoin for its own sake. The company has said it plans to evaluate artificial intelligence and high-performance computing applications for its broader computing footprint, which suggests the mining fleet could eventually serve a dual purpose. Mining machines and AI workloads both demand enormous amounts of cheap power and cooling, and the infrastructure built for one can often be adapted for the other.

NIP Group is based in Abu Dhabi, in the United Arab Emirates, a jurisdiction that has actively courted digital asset and computing businesses with supportive regulation and access to energy. That location gives the company a base in a region where several governments see computing infrastructure as a strategic priority rather than a regulatory headache.

What 13.85 EH/s Means in the Global Mining Race

To understand the scale of the NIP Group Bitcoin miners acquisition, it helps to put 13.85 EH/s in context. An exahash per second represents one quintillion hash calculations every second, and the Bitcoin network as a whole runs at hundreds of exahashes per second. A single company controlling 13.85 EH/s is a meaningful participant, though still far behind the industry’s giants.

According to data cited in coverage of the deal, NIP Group was ranked as the 16th-largest public Bitcoin miner by operating hashrate at the time the deal was announced, based on its earlier 3.11 EH/s figure. The largest public miner, Bitdeer, was credited with 79.9 EH/s. Closing the third tranche would move NIP Group well up that ranking, though the exact position depends on how much its rivals expand in the meantime.

The expected output of around 195 Bitcoin per month at full deployment is the number that will matter most to shareholders. At current prices that represents roughly $16 million in monthly revenue before power, hosting and operating costs. But that figure is an estimate for the entire fleet, not just the machines in the latest deal, and it is explicitly subject to the global network hashrate, Bitcoin difficulty adjustments and operational factors. If more miners join the network, difficulty rises and each machine earns less; if miners leave, the opposite happens.

The Share-Price Paradox: Bigger Fleet, Smaller Valuation

For all the growth in its mining fleet, NIP Group’s stock has had a rough ride. The company’s shares reportedly fell 6.8% on the Wednesday after the announcement, closing at $6.10, and have declined roughly 86% over the prior year, according to figures cited from Yahoo Finance.

That disconnect between operational growth and share price is not unusual in the mining sector, where equity values are driven as much by Bitcoin’s price, dilution from share-funded deals and investor sentiment as by hashrate figures. Issuing up to 247.1 million new shares to pay for machines increases the share count substantially, and investors may have sold on the dilution. The broader market backdrop has also been unkind: Bitcoin has spent much of October drifting lower, and mining stocks, which trade as leveraged bets on the Bitcoin price, have often fallen further than the coin itself.

The paradox raises a fair question for shareholders. If the fleet is growing and production is rising, why is the market valuing the company at a fraction of its level a year ago? Part of the answer is that the market is pricing the business on its future earnings power, not its current hashrate, and future earnings depend on Bitcoin’s price, power costs and difficulty — none of which NIP Group controls. Part of it is that share-funded acquisitions, while cash-efficient, dilute existing holders with every deal.

Risks: Difficulty, Power Costs and Dilution

Every mining expansion carries the same set of risks, and this deal is no exception. The first is network difficulty: as more hashrate joins the Bitcoin network, each machine’s share of the block reward shrinks, and the 195 Bitcoin per month estimate assumes conditions that may not hold. The second is power and hosting costs, which can rise with energy prices and eat into margins, especially for older machines.

The third is dilution. Issuing up to 247.1 million shares is a significant increase in the share count, and if the machines do not generate returns above the cost of that dilution, existing shareholders lose out. The fourth is execution: integrating a third tranche of machines, managing hosting relationships and keeping uptime high is operationally demanding, and the company’s mining division is still young.

Finally, there is the Bitcoin price itself. At current levels the fleet’s expected output is worth roughly $16 million a month, but a sharp fall in the coin’s price would cut that revenue while costs stay fixed. That is the fundamental leverage of the mining business, and it cuts both ways.

FAQ

What did NIP Group buy in the Bitcoin miners acquisition? NIP Group agreed to buy already-deployed Bitcoin mining machines with about 4.47 EH/s of hashrate, its third tranche of mining hardware purchases, announced on October 20, 2026.

How much will NIP Group’s total mining capacity be after the deal? The company’s total installed capacity across all three tranches is expected to reach approximately 13.85 EH/s, with expected production of around 195 Bitcoin per month at full deployment.

How is NIP Group paying for the machines? It will issue up to 247,091,740 Class A ordinary shares to the sellers, valuing the deal at up to $27.3 million, rather than paying cash.

When will the new machines start producing Bitcoin? The machines are already deployed and operational at hosting facilities, so they should add to production immediately once the deal closes, which NIP Group expects within 10 business days of the closing conditions being met.

Why has NIP Group’s share price fallen despite the expansion? The stock fell 6.8% to $6.10 after the announcement and is down about 86% over the prior year, reflecting dilution from the share-funded deal, Bitcoin’s weak October price action and investor caution about mining economics.

Source: Bitcoin Sistemi

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