VivoPower’s subsidiary, Caret Digital, is set to commence Dogecoin mining operations, generating both revenue and positive cash flow starting in January 2025. The company has chosen environmentally friendly hosting facilities in Wisconsin and Oregon, where it plans to deploy an initial fleet of up to 1,000 Antminer L9 mining devices.
Caret Digital anticipates an annual revenue potential of up to $25 million, with cash earnings before interest, taxes, depreciation, and amortization (EBITDA) reaching approximately $12 million, depending on current market conditions and operational costs. The economics surrounding Dogecoin mining have significantly improved, offering a payback period of just 9 to 12 months based on power expenses.
The strategic plan includes the progressive deployment of the Antminer L9 units, starting with 255 in Wisconsin and subsequently increasing the count to 745 in Oregon. Caret Digital plans to sell the mined Dogecoin instead of holding it, thus generating a steady income stream. Any profits earned from this venture will be reinvested into VivoPower’s Tembo e-LV business, furthering their commitment to a sustainable triple bottom line model focused on people, profit, and the planet.
Caret Digital is also progressing on its own renewable-powered mining capacity, aiming to develop up to 55 megawatts of capacity. This could potentially drive yearly revenues of up to $150 million from Dogecoin and Litecoin mining.
This initiative follows a recent shareholder meeting where VivoPower received approval for a potential spin-off of Caret Digital and a special dividend for investors. The company plans to keep stakeholders informed about the ongoing progress and implications of these developments.
In summary, VivoPower’s entry into Dogecoin mining marks a significant step towards renewable energy utilization and sustainable profitability. With careful strategic planning and commitment to environmental responsibility, this venture holds promise for both the company and its shareholders. As the market for cryptocurrency mining evolves, VivoPower’s focus on incorporating renewable energy solutions reflects a growing trend towards sustainability in the tech industry.