VANCOUVER, BC, Nov. 6, 2020 /CNW/ - HIVE Blockchain
Technologies Ltd. (TSXV: HIVE) (OTCQX: HVBTF) (FSE: HBF) (the
"Company" or "HIVE") is excited to announce the purchase and
immediate hashing of 1,240 MicroBT WhatsMiner M30S miners with an
aggregate operating hash power of 113 Petahash per second (PH/s) as
it continues to expand its bitcoin mining operations.
The cost for these M30S miners was approximately US$2,715 per unit, or US$3.4 million, financed through the Company's
New Bitcoin Miners
With the addition of these 1,240 MicroBT WhatsMiner M30S miners,
HIVE's aggregate operating hash rate almost doubles from 116 PH/s
to 229 PH/s.
This new equipment, which is already electrified, will be hosted
by DMG Blockchain Solutions Inc. (TSX.V:DMGI) ("DMG") at their
facility located at Christina Lake,
British Columbia. DMG COO Sheldon
Bennett commented, "DMG is excited to welcome HIVE
Blockchain as a client and partner. Hive has continued to
demonstrate leadership and vision in the mining industry."
"The vision of the Company is to achieve an aggregate operating
hash power of 1,000 PH/s within the next 12 months," said
Frank Holmes, Interim Executive
chairman of HIVE.
As we have mentioned before, the COVID-19 pandemic continues to
impact logistics and the supply of miners from Asia. Today's announcement is part of our
continuing strategy to increase our bitcoin mining capacity. HIVE
intends to continue utilizing cash flow to make opportunistic
investments in next generation mining equipment that can provide
positive gross mining margins.
HIVE's miner purchases year to date:
April 2020 - 750 S17+ miners (73
TH/s) were purchased from Bitmain and have been deployed.
June 2020 - 1,090 T17+ miners (58
Th/s) were purchased from Bitmain and have been deployed.
June 2020 - 200 S17e miners (60
TH/s) were purchased through a broker, and because of the
production delays that have been experienced by Bitmain we are
still awaiting delivery of over half of the miners.
July 2020 – 156 T17 miners (42
TH/s) were purchased through a broker and have been deployed.
Ethereum Mining Update
HIVE continues to be one of the largest publicly traded Ethereum
miners in the world. As a result of this substantial footprint, the
Company continues to aggressively spend money on upgrading the
efficiencies of our GPU chips to mine Ethereum in the cloud.
HIVE mined more than 32,000 Ethereum in the quarter from
July 1 to September 30, 2020, based
on the Company's preliminary unaudited results. This represents a
significant sequential increase from the approximately 25,000
Ethereum mined in HIVE's first fiscal quarter ended June 30, 2020, and a more than 50% increase
compared to the same period last year.
The increase has been driven by the massive demand for
transactions on Ethereum, including by stablecoins and DeFi
applications1, which have resulted in record highs in
Ethereum transaction fees paid to miners. Many investors are using
smart contracts to perform DeFi actions such as staking, pooling,
and lending and such investors have been paying higher costs to
make sure their transactions go through.
About HIVE Blockchain Technologies Ltd.
HIVE Blockchain Technologies Ltd. is a growth oriented,
TSX.V-listed company building a bridge from the blockchain sector
to traditional capital markets. HIVE owns state-of-the-art green
energy-powered data centre facilities in Canada, Sweden, and Iceland which produce newly minted digital
currencies like Bitcoin and Ethereum continuously on the
cloud. Our deployments provide shareholders with exposure to
the operating margins of digital currency mining as well as a
portfolio of crypto-coins.
For more information and to register to HIVE's mailing list,
please 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
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this news release.
Except for the statements of historical fact, this news
release contains "forward-looking information" within the meaning
of the applicable Canadian securities legislation that is based on
expectations, estimates and projections as at the date of this news
release. "Forward-looking information" in this news release
includes information about the purchase and deployment of newly
purchased mining equipment; achievement of aggregate operating
hashpower of 1000 PH/s within the next 12 months; potential further
improvements to profitability and efficiency across mining
operations; potential for the Company's long-term
growth, and the business goals and objectives of the
Factors that could cause actual results to differ materially
from those described in such forward-looking information include,
but are not limited to, a decrease in digital currency
pricing, volume of transaction activity or generally, the
profitability of digital currency mining;
further improvements to profitability and efficiency may not be
realized; the Company may not increase its operating hashpower as
currently anticipated, or at all; the digital currency market; the
Company's ability to successfully mine digital currency; the
Company may not be able to profitably liquidate its current digital
currency inventory, or at all; a decline in digital currency prices
may have a significant negative impact on the Company's operations;
the volatility of digital currency prices; and other related risks
as more fully set out in the Filing Statement of the Company dated
and other documents disclosed under the Company's filings at
The forward-looking information in this news release reflects
the current expectations, assumptions and/or beliefs of the Company
based on information currently available to the Company. In
connection with the forward-looking information contained in this
news release, the Company has made assumptions about the
current profitability in digital currency mining (including
pricing and volume of current transaction
activity); the Company's ability to expand its
operating hashpower; profitable use of the Company's assets going
forward; the Company's ability to profitably liquidate its
digital currency inventory as required; historical prices of
digital currencies and the ability of the Company to mine digital
currencies will be consistent with historical prices; and there
will be no regulation or law that will prevent the Company from
operating its business. The Company has also assumed that no
significant events occur outside of the Company's normal course of
business. Although the Company believes that the assumptions
inherent in the forward-looking information are reasonable,
forward-looking information is not a guarantee of future
performance and accordingly undue reliance should not be put on
such information due to the inherent uncertainty therein.
SOURCE HIVE Blockchain Technologies Ltd.