HIVE Blockchain Nearly Doubles Bitcoin Mining Capacity

HIVE Blockchain Technologies (TSXV: HIVE) appears to be heavily focused on expansion, with the company announcing this morning that it has acquired further computing power for the purpose of mining bitcoin. The company in total acquired 1,240 MicroBt WhatsMiner M30S miners via an arrangement with DMG Blockchain Solutions Inc (TSXV: DMG).

Acquired at a cost of US$2,715 per unit, the total bill for the expansion is roughly US$3.4 million, while the firms hash rate effectively doubles from 116 PH/s to 229 PH/s. The purchase is said to be funded via cash on hand. The equipment is already installed and electrified, while being hosted at DMG’s facility in Christina Lake, British Colombia. Financial details of the arrangement for hosting were not provided.

The expansion of mining capacity is the fifth such expansion this year, following an expansion in April, two in June, and one in July. Notably, complications related to supply chains as a result of the pandemic has resulted in one of the June orders remaining outstanding, with over half of the 200 S17e miners ordered yet to be delivered. The four additions, when fully completed, will amount to a total of 233 TH/s of computing power being added to HIVE’s capacity.

Finally, HIVE revealed that in the quarter ended September 30, the company managed to mine more than 32,000 Ethereum based on preliminary results. The result is a significant increase over the 25,000 that the company mined in the prior quarter.

HIVE Blockchain Technologies last traded at $0.53 on the TSX Venture.

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