TORONTO, March 31, 2021 /CNW/ - Hut 8 Mining Corp.
(TSX: HUT), one of North America's
oldest, largest and most innovative bitcoin mining pioneers, and
Luxor Technology Corporation ("Luxor") a Seattle-based hashrate manager, jointly
announced that Hut 8 is now working with Luxor on hashrate
best-price execution. Hut 8 has allocated a portion of its SHA-256
hashrate to Luxor to advance its recently announced expansion into
Ethereum mining.
Luxor has been building out its hashrate execution technology
since 2017, helping thousands of miners globally. Proprietary
technology developed by Luxor has the potential to maximize returns
for miners. Luxor's Switch software product is a profit-switching
algorithm that maximizes earnings by switching between blockchains
and venues to maximize hashrate rewards. Luxor launched the product
for the Equihash algorithm in mid-2020 and is launching it for the
SHA-256 and ETH algorithms in 2021.
"I'm excited to work with Luxor because they are innovators in
the mining services industry; they continue to develop data driven
products (Hashrate Index, Switch, Catalyst), are recognized for
their deep understanding and insight of the industry, and Luxor is
North American-based with a skilled and growing team. A pleasure to
work with." said Jaime Leverton, CEO
of Hut 8
With the recent purchase of Nvidia CMPs, Hut 8 has the ability
to mine new currencies including Ethereum. Transaction fees for
Ethereum have skyrocketed over the past year, and represent a large
revenue opportunity for miners. There is also an additional form of
revenue for Etheruem miners through Miner Extractable Value (MEV).
MEV has ballooned to over $42M of
value over the past 30 days, presenting Hut 8 opportunities to
further increase mining returns. Using Luxor's proprietary
technology, Hut 8 plans to earn revenue from the Ethereum block
reward, transaction fees, and MEV. In addition, Hut 8 will have the
option to receive Bitcoin and/or Ethereum payouts directly from
Luxor, allowing Hut 8 to stack sats while earning outsized returns
through novel CMP mining.
"We have been extremely impressed with Hut 8's operations, and
their forward-thinking on compute power as an asset class. Their
diversification to take advantage of the lucrative Ethereum fee
market while running one of the best Bitcoin mining operations out
there places them in a good position to lead the industry moving
forward. We believe this partnership is a strong validation of
Luxor's novel hashrate products." said Ethan Vera, CFO of Luxor
Hut 8 continues to support developments in the North American
mining industry by partnering with Luxor, bringing more hashrate
onshore. Encouraging and driving hashrate to spread out globally is
a net-positive for Bitcoin, adding to the security of the overall
network.
About Luxor:
Luxor is a fast-growing technology company that is shaping the
future of hashrate as a commodity, building new-gen digital
pipelines for compute power. Luxor is backed by notable investors
such as Argo Blockchain, Bitnomial, Celsius Network, Routemaser and
more.
About Hut 8:
Hut 8 is one of the oldest, largest and most innovative bitcoin
miners in the world. Hut has one of the highest installed capacity
rates in the industry and is #1 globally in held, self-mined
Bitcoin of any crypto miner or publicly traded company. Recently
ranked 11th (of 10,000) on the 2021 OTCQX® Best 50, and the first
miner to be listed on the TSX, the Hut 8 leadership team is
continually looking for ways to accelerate innovation in high
performance computing, and the blockchain ecosystem. We are
stewards of powerful, industry-leading solutions, and drivers of
Innovation In Digital Asset mining and High Performance Computing -
we apply this mindset to our revenue diversification, ESG and
carbon footprint reduction strategy. Hut 8 has a diversified mobile
production platform, located in Alberta
Canada and secured with low cost power contracts. Hut 8 has
been commanding its mining operations and successfully navigating
Bitcoin market cycles since 2018. Stick with the company that has a
plan for how to #grow Shareholder value regardless of #BTC market
direction. #HodltheHut
SOURCE Hut 8 Mining Corp