Company: CIFRW
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001819989-25-000005
Chunk: 126

Company: Cipher Mining Inc.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 1
Chunk 126
---
Data Center Sourcing, Development and Operation 

Our core business model involves sourcing new sites, designing and developing data center facilities, and operating them for our self-owned bitcoin mining operations or for potential HPC tenants. We believe this process and our team’s expertise are key to our operational success and maintaining our competitiveness. Our team conducts a rigorous process of sourcing, technical design, construction and operations.

Sourcing

Our team’s experience and strong industry relationships offer us insight into sourcing attractive sites. We consider size, energization timing, required power capacity, regulatory approvals, location, anticipated power costs and other factors in evaluating potential sites. We take into consideration requirements for bitcoin mining operations or potential HPC operations. 

Our team begins sourcing potential sites up to a few years in advance of planned development. We source new data center locations by acquiring or leasing property that we can develop for use as data center facilities, including  constructing on greenfield land. We believe the competition for power capacity and energized facilities is ever increasing, and we also look at opportunities to convert existing facilities for our data center operations or to acquire data centers from other companies.

Regardless of the source of our data center capacity, our team’s goal is to ensure our facilities meet our high standards for operational efficiency and safety.

Construction

After procuring a site, we design and, through cooperation with developers, contractors, and suppliers, build out a facility that meets our advanced design and technical requirements. We believe our team’s industry experience and process serve as a foundation for ensuring our data centers meet the highest standards for operational efficiency and safety. Our team oversees construction project management, including vendor selection, procurement, budgeting, quality supervision, obtaining approvals and more. We believe that these elements are important to ensure the project is completed on time, within budget, and to specific quality standards.  

We typically will determine the business model planned for the site prior to construction to best-suit a bitcoin mining data center or a potential HPC tenant’s needs. As we expand beyond bitcoin mining, our approach aims to cater to a range of requirements and site characteristics, including power and water capacity, redundancy, power density, cooling, rack configuration and other technical specifications.

Operation

Our data center operations team manages the daily operation of our data center facilities.  Our team’s extensive industry experience and commitment to operational excellence help us meet our goal of safely operating data centers at the highest standards. In 2024, the Odessa Facility was the first bitcoin mining data center to receive the Management and Operations, or M&