Bitcoin mining hardware vendor KnCMiner AB announced today that it raised $15 million in Series B investment.

This round is led by Accel Partners with participation from existing investors Creandum, a Stockholm and Palo Alto based VC firm, GP Bullhound and private investor Martin Wattin. Creandum led the previous $14 million funding round in September alongside GP Bullhound.

The mining vendor has announced that it will use the funds to increase its bitcoin mining capacity and continue to extend bitcoin-processing infrastructure in the future.

New 16nm chip has reached production

KnCMiner has completed its 16nm with Alchip at Taiwan Semiconductor Manufacturing Co Ltd (TSMC) and expects to be the first-to-market with this chip technology. As an Application-Specific Integrated Circuit (ASIC) manufacturer, KnC could gain a significant lead over other mining hardware vendors by having a far more efficient chip design. ASICs are common in the Bitcoin-mining industry due to the complex computational nature of bitcoin mining, which benefits from hardware (in this case chips) specifically built to task.

The company claims that this is one of the first 16nm chips in any segment to enter full production.

Since being founded during 2013 in Stockholm, Sweden KnCMiner has generated over $100 million in revenue and has re-invested most of its profits in the mining operation.

“We have invested more than $70M over the last 12 months into building a world-class bitcoin mining operation,” says Sam Cole, co-founder and CEO of KnCMiner, “and plan to invest a further $150M over the next 18 months.”

Spokespeople from Accel Partners and Creandum have stated their excitement for KnCMiner’s current operations and look forward to the future of bitcoin with anticipation for infrastructure and long-term potential for mining operations.

“We strongly believe in the long-term potential of Bitcoin technology and see large scale miners like KnCMiner playing a crucial role,” says Michiel Kotting, Partner at Accel Partners, who is joining KnCMiner’s board of directors.

KnCMiner describes the Bitcoin community and ecosystem as “vibrant” and hopes to continue to partner with more industry leaders in the future alongside further investment rounds in order to increase user adoption.

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