Mogo Announces Formation of Mogo Blockchain Technology and Plans to Begin Bitcoin Mining with DMG Blockchain Solutions

Mogo Finance Technology (TSX:MOGO) has announced a new subsidiary, Mogo Blockchain Technology, which will serve as the main provider of Mogo’s blockchain operations.
As quoted in the press release:

As the first strategic initiative, Mogo Blockchain plans to begin bitcoin mining, through an agreement with DMG Blockchain Solutions (“DMG”), a Vancouver-based company focused on bitcoin mining hosting (mining as a service (MaaS)) and diversified blockchain platform development.

Under the agreement with DMG, Mogo will initially lease 1,000 bitcoin mining machines, which the Company expects to be operational later this quarter. The machines will be managed and operated by DMG under its MaaS model and will be located at DMG’s facilities in British Columbia. Mogo and DMG have also entered into a letter of intent to form a dedicated joint venture for bitcoin mining. The expansion into bitcoin mining follows Mogo’s announcement regarding the launch of MogoCrypto – a new product that will allow Canadians to easily buy and sell bitcoin through their MogoAccount and will bring a new level of convenience and transparency to bitcoin ownership.
“We strongly believe blockchain technology will have a profound impact on transforming financial services and will become a core part of a modern financial technology platform. Mogo is focused on building the best digital financial services experience for the next generation of Canadians, and we are committed to adding capabilities in blockchain through in-house development and strategic partnerships such as this one with DMG,” said Greg Feller, President of Mogo and CEO of Mogo Blockchain. “We’re excited to work with DMG given their extensive mining experience and attractive mining as a service model. We believe that gaining exposure to mining cryptocurrency such as bitcoin is an important part of building our competency around blockchain. In addition, this mining venture will enable us to generate our own supply of ‘freshly minted’ bitcoin for our MogoMembers once we introduce MogoCrypto later this quarter.”
David Feller, Founder & CEO of Mogo, added: “This new subsidiary underscores our commitment to bringing blockchain innovation to financial services. With a focused effort and investment in this space, we will pursue applications that benefit Mogo and its customers, as well as opportunities to focus on enabling blockchain technologies that could potentially be licensed to other companies.”

Click here to read the full press release.