Canadian Bitcoin Miner HIVE to operate at 6 EH/s after ATM sale
Canadian crypto mining company HIVE Blockchain, Hive as its ticker name, has announced plans to double its hash rate to 6 EH/s through common shares in ATM offering. This move will effectively support the miner’s mining capacity of Bitcoin and other cryptocurrencies.
ATM sales and financing of HIVE’s own data power
Earlier, in a press release on Friday, the Bitcoin miner revealed that it would offer its common shares available on NASDAQ through ATM Sales. In this way, the mining corps will be able to generate enough funds to purchase additional hash rate that can double their current mining capacity of 3 EH/s.
The Hive has partnered with two Canadian investment firms, namely Stifel and Canaccord Genuity, who will act as Hive’s agents to raise the targeted funds of $100Mn. With each Bitcoin mining computing power estimated at an acquisition cost of $30Mn, the sale on the market is estimated to provide surplus amounts that could enable Hive to purchase 3 EH/s.
While Intel (INTC) has announced that it will be discontinuing its bitcoin mining chip series, Intel Blocksale 1000 Series ASIC, Hive, has yet to reveal the details of its future plans. In particular, Hive is the only mining group that has installed Intel-powered mining rigs and chips in its facilities.
Hoping to reach its growth target, the Canadian company has purchased around 1.26 EH/s which includes 0.71 EH/s of Bitmain Antminer generating machines, while the rest are Hive’s custom rigs and semiconductors powered by Intel mining chips. Hive has also revealed that its growth plans also include increasing its hash rate from 3 EH/s to 4 EH/s by the end of Q2 2023.
The crypto industry has already witnessed a severe winter that crippled the entire industry, leading some mining companies to even file for bankruptcy. HIVE’s plans to expand its business are commendable. Apart from increasing its operational mining load, the company also claims to achieve power efficiency through its strategic approaches and will optimize the short-term payback of its investments through cash flow generation from operating newly purchased machinery.
Conclusion
Hive is now able to mine both Bitcoin and other cryptocurrencies as a result of reusing their graphics processing units (GPUs) after the Ethereum merger. Thus, by the end of April, Hive has already performed at an applaudable 3.14 EH/s against Bitcoin mining and 0.16 EH/s against GPU.
