Hive Blockchain Expects Increased Bitcoin Mining, Slower Ether Production For Fiscal Q3

HIVE Blockchain Technologies Ltd. (TSXV: HIVE) shared today its preliminary and unaudited production results for its fiscal Q3 2021. The results cover October 1 to December 21, 2021.

The blockchain firm relayed that it has mined approximately 600 bitcoin so far for the quarter and roughly mining 7 bitcoin per day. Based on this, it is expected to exceed its prior quarter results of mining 656 bitcoin. The increase is being attributed to new generation miners and expansion of mining facilities conducted prior to the quarter.

On the other hand, the firm has mined more than 6,280 ether, approximately mining 65 ether per day. This is expected to be lower than the prior quarter’s production of 8,688 ether. The decrease is said to be mainly due to new participants in the market resulting in a 16% increase in hashrate difficulty.

However, the company said that the drop in ether production is expected to be offset by the increase in ether price, and increase in bitcoin production and price.

“[We] do not believe Proof-of-Stake is an imminent danger but rather FUD (fear, uncertainty, and doubt) we have endured about ETH mining for the past 4 years while we continue to generate low-cost high returns for our shareholders,” said executive chairman Frank Holmes.

The crypto miner also relayed that it has a short position of over 29.5 million shares, believing it remains “profitable and less expensive than many other technology stocks generating above-average cash flow returns on invested capital.”

HIVE Blockchain Technologies last traded at $3.63 on the TSX Venture.

Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.