This press release constitutes a “Designated Press Release” within the meaning of the Company’s Prospectus Supplement dated February 2, 2021 to its Abbreviated Base Prospectus dated January 27, 2021.
VANCOUVER, BC / ACCESSWIRE / March 1, 2021 / HIVE Blockchain Technologies Ltd. (TSX.V: HIVE) (OTCQX: HVBTF) (FSE: HBF) (the “Company” or “HIVE”) is pleased to announce that it has made a monumental step in meeting its updated ASIC capacity target broke through 2,000 petahash per second (PH / s) for 2021 by purchasing 10,500 next generation miners with an overall operating hash of 711 PH / s and increased our future total capacity to 2,474 PH / s or 2.474 exahash per second ( EH / s).
New Bitcoin Miners
The addition of these 10,500 next-generation miners increases HIVE’s overall operating rate from Bitcoin mining to an estimated 2,474 EH / s or 2,474 PH / s by the end of 2021.
These new devices, sourced through our growing network, are sourced from two different sources to reduce dependency on one supplier and reduce supplier risk. The first supplier provides 9,000 next-generation miners with a total hash rate of 666 PH / s.This equipment is expected to be shipped in 5 tranches with 1,000 miners each in June and 2,000 miners in September, October, November and December 2021 .
The second supplier provides 1,500 next generation miners with a total hash rate of 45 PH / s. This new equipment is expected to arrive and be operational in a single tranche in March 2021 over the next 30 days.
We remind our shareholders that the COVID-19 pandemic continues to affect logistics and supplies to miners from Asia. Today’s announcement is part of our ongoing strategy to increase our bitcoin mining capacity. HIVE intends to continue to use cash flow to make opportunistic investments in next-generation ASIC and GPU mining equipment that can generate positive gross margins.
The story goes on
Our current self-mining operations in the cloud include 315 PH / s ASIC operations mining Bitcoin. We anticipate they will increase to our current capacity of 2,474 PH / s each month through 2021, in addition to 2,725 gigahash per second (GH / s) of GPU operations that degrade Ethereum, which we will increase if we finalize our memory card upgrades and previously announced expansion plans in Sweden.
New GPU miners
We work every day to modernize our Swedish facility and expand our capacity by purchasing additional GPU chips for the Ethereum mine. Like ASIC chips, GPU chips are also limited in availability.
This usually means that the barriers to entry for new mining companies are quite limited, which is optimistic for the profit margins of existing miners. It is very difficult to source chips and the secondary cost of purchasing mining equipment is very high as it takes much longer to pay for itself, which we consider to be quite risky. The cost of purchasing new mining machines was economical.
All of our locations only use green energy.
About HIVE Blockchain Technologies Ltd.
HIVE Blockchain Technologies Ltd. is a growth-oriented company listed on TSX.V that bridges the blockchain sector to traditional capital markets. HIVE owns state-of-the-art green energy data centers in Canada, Sweden and Iceland that continuously produce newly minted digital currencies such as Bitcoin and Ethereum in the cloud. Our deployments give shareholders access to digital currency mining operating margins as well as a portfolio of crypto coins.
For more information and to register on the HIVE mailing list, visit www.HIVEblockchain.com. Follow @HIVEblockchain on Twitter and subscribe to HIVE’s YouTube channel.
On behalf of HIVE Blockchain Technologies Ltd.
Interim Executive Chairman
For more information please contact:
Tel .: (604) 664-1078
Neither the TSX Venture Exchange nor its regulator (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Except for historical facts, this press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation based on expectations, estimates and projections as of the date of this press release. “Forward-Looking Information” in this news release contains information regarding the purchase of 10,500 next generation miners, including expected delivery, operation, and operation hash rate increase from Bitcoin mining. future total capacity of 2,474 PH / s; the company’s continued strategy to increase bitcoin mining capacity; expected increase (timing and capacity) in PH / s ASIC operations mining Bitcoin and GH / s GPU operations mining Ethereum, including further expected increases after completing memory card upgrades in Sweden; the ongoing impact of the COVID-19 pandemic on logistics and supplies to miners; the continued use of cash flow for opportunistic investments in next generation mining equipment that can generate positive gross margins in mining; Potential for further improvements in mining profitability and efficiency, potential for long-term growth for the company, and the company’s business goals and objectives.
Factors that could cause actual results to differ materially from those described in this forward-looking information include, among other things, that the newly acquired 10,500 next generation miners may not ship or be out of service in the currently anticipated timeframe positive impact on the company’s profitability; The company may or may not achieve an overall operational hash performance of 2,474 PH / s in the currently expected time frame. Increases (timing and capacity) in Bitcoin and Ethereum mining may not happen as currently expected or not at all. The ongoing effects of the COVID-19 pandemic can have a material adverse effect on company performance as it disrupts supply chains and prevents the company from operating its assets. a decrease in the price of cryptocurrencies, the volume of transactions or, in general, the profitability of cryptocurrency mining; Further improvements in profitability and efficiency may not be realized. the digital currency market; the company’s ability to successfully mine digital currencies; The company may not be able to liquidate its current holdings of digital currencies or not profitably at all. A decline in the price of digital currencies can have a material adverse effect on the company’s business. the volatility of digital currency prices; and other related risks, which are more fully detailed in the company’s filing statement and other documents set out in the company’s filings at www.sedar.com.
The forward-looking information in this press release reflects the company’s current expectations, beliefs and / or beliefs based on information currently available to the company. In connection with the forward-looking information contained in this press release, the company has made assumptions about the current profitability of mining cryptocurrency (including pricing and volume of current transaction activity). profitable use of the company’s assets in the future; the company’s ability to liquidate its holdings of digital currencies for profit as needed; Historical prices for digital currencies and the company’s ability to mine digital currencies will be consistent with historical prices. and there will be no regulations or laws preventing the company from doing its business. The company has also assumed that no material events will occur outside the normal course of business of the company. While the company believes that the assumptions inherent in any forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and should not place undue reliance on such information due to the uncertainty it may contain.
SOURCE: Hive Blockchain Technologies Ltd.
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