The Virginia Beach Development Authority has approved a $500,000 grant to a cryptocurrency startup Bcause to set up digital mining facility.

Established in 2013, Bcause is building a full-stack cryptocurrency ecosystem, which includes a digital mining facility, spot market, and pending regulated derivatives exchange and clearing house. The company has announced its plans to expand its operations and move its corporate headquarters to 5465 Greenwich Road in Virginia Beach.

According to the official release, the new location offers 84,000 square feet of space that will house its corporate headquarters and the computers and systems necessary to mine digital currency and support other data processing needs of the company. Importantly, Bcause plans to generate 100 new full-time jobs with average annual salaries of $60,000 with this expansion.

“Bcause is pleased to locate what we expect will be part of the largest cryptocurrency mining operation in North America here in Virginia Beach. The region has a growing reputation for innovation and technology, and we believe that our state-of-the-art operation will add to that reputation,” Fred Grede, CEO of Bcause LLC, said.

The company is going to receive a $500,000 grant from the Virginia Beach Development Authority. It will also be able to benefit from the city’s recently reduced business property tax rate for computers and peripherals used in data centers, which is now $0.40 per $100 of 40% of assessed value.

Virginia Beach competed with Pennsylvania, Montana and Turkmenistan for the digital mining operation. Bcause has also requested additional assistance from the Virginia Economic Development Partnership.

"Virginia Beach is again on the forefront of innovative technology, and we are extremely pleased that Bcause LLC will remain here," said Virginia Beach Economic Development Director Warren D. Harris. "The cryptocurrency market is rapidly expanding, and we anticipate Bcause LLC will be at the forefront of this emerging financial system."