Frank Holmes, EXECUTIVE CHAIRMAN of HIVE, said: “In July, we produced an average of 15. 0 Bitcoin equivalents per day, or around 9. 0 BTC per day and our Ethereum production around 95 Ethereum per day. We are pleased to see that to date, we produce around 10 BTC per day, in addition to around 95 Ethereum per day. “
Aydin Kilic, president and coo of HIVE, said, “We continue to try to achieve operational excellence, making sure that as we adapt our hashrate, we also optimize our availability, to make sure Bitcoin and Ethereum come out in ideal numbers. “Kilic continued: “We would also like to provide an update on the equivalence of BTC and ETH, where one can assimilate the price of the coins produced daily. As such, the ETH that HIVE produced in July was equivalent on a daily basis. , is roughly equivalent to a monthly total of 185. 2 BTC, what we call the Bitcoin equivalent or BTC equivalent. This is in addition to the 279. 9 BTC produced through our Bitcoin mining operations in July, for a total of 465. 1 Bitcoin equivalents. “
The company’s total Bitcoin production as of July 2022 was:
Ethereum Perspectives and Strategy
The company acknowledges that there have been recent discussions related to the possible “merger” of Ethereum with evidence of participation (“PoS”).
As for the PoS Moment, the company notes that no express block for the Ethereum merger has been specified. Until an express block has been universally known and accepted through the Ethereum Foundation, the Company believes that it is indeterminate whether or when the merger will take place. For comparison, Bitcoin’s halving event is at a particular preset block height (including one and both blocks of 210,000).
HIVE recognizes that there may be an execution threat in implementing a trading strategy if Ethereum switches to PoS, and there will be continued demand for GPU-based proof-of-work (“PoW”) mining. Therefore, the company has a strategy in case of Merger.
HIVE believes there is an intrinsic price tag on a largely decentralized PoW blockchain with Layer 2 smart contracts, as most of those projects exist on the Ethereum blockchain. If NFT and DeFi developers realize that a secure Layer 1 PoW blockchain is the most productive playing field for their code-based projects, there may only be an accumulation in Layer 2 programs on the Ethereum Classic blockchain, after the merger.
The company has already begun case studies, analyzing the hash rate economics of Ethereum Classic and other GPU-extractable coins on a commercial scale. HIVE has also made GPU optimizations in the 2022 calendar, which are patented and give the company a competitive advantage.
If the merger occurs, the company expects competitive merit in technical competence to be required, as GPU mining is more concerned than ASIC mining. This means that companies or amateur miners who are the most productive when it comes to GPU optimization will thrive. . We expect there to be more algorithmic GPU mining programs, where users can mine multiple parts. This will add to the competitive merit that miners seek to have the most productive energy savings, so that they have the lowest consistent load consistent with hash generated. GPU miners will want to have a low hash load, while staying ahead of the curve in generating the highest performance (revenue) consistent with hash, through optimizations.
THE GPUs that lately mine Ethereum are just one side of HIVE’s operations that complement its fleet of Bitcoin mining ASICs. parts. The kind of moment is our medium-quality knowledge cards, i. e. our Nvidia fleet that we announced last year when we joined Nvidia’s partner network; those forums have other programs in high-performance computing (HPC) programs. HIVE has developed a new platform for our mid-level knowledge cards to create new revenue streams. for rendering, AI, ML, molecular modeling, etc.
Electricity prices in New Brunswick
HIVE has experienced several months of charges of superior force in New Brunswick (“NB”) at its central data campus, which has affected all businesses that are consumers with interruptible force contracts. Mr. Kilic noted that “interruptible power costs in New Brunswick have traditionally ranged from 3. 5 to 4. 5 cents on the dollar according to KWHR, based on annual averages over the last decade. HIVE also carries a portion of the total electrical load in New Brunswick as desktop strength at approximately 6 cents consistent with KWHR USD. During the fourth quarter of the Company’s fiscal year 2022 (January through March 2022), electric power rates in New Brunswick based on the Company’s usage (combined fixed and interruptible electric power) were approximately 12 cents consistent with KWHR for a capacity of 46 MW. Mr. Kilic continued: “The benefit of being globally diversified, with 6 data centers in 3 countries, HIVE’s other facilities have benefited from force rates of approximately 3. 5 cents per KWHR for approximately 54 MW of constant capacity. “. Taking into account HIVE’s average global ongoing charges for electric power, knowledge and maintenance middlemen for all services in Q4 2022, the overall charge was approximately 7. 5 cents per KWHR USD, based on a global footprint. average constant of 114 MW, compared to revenues of $49. 8 million (as reported in the Company’s fiscal year 2022 audited financial statements), which equates to approximately $0Array20 according to KWHR. The company notes that at the time it was able to profitably mine cryptocurrencies, maximizing coin production.
Since then, the Corporation’s overall average, consistent with electricity, data center personnel, and maintenance costs in New Brunswick, has improved especially because the Corporation has methods to avoid the highest interruptible electric power costs in New Brunswick, which would possibly include, from time to time, reducing the maximum interruptible force of entry consistent with periods. During the first quarter of fiscal 2023 (April to June 2022), the company’s average electric power costs in New Brunswick were 7. 4 cents consistent with KWHR USD, employing approximately 52 MW on average, and the company’s global constant costs of electric power, intermediate knowledge personnel and maintenance of all amenities are approximately 5. 5 cents.
Difficulty in the network
The difficulty of the Bitcoin network was reduced by 6. 5% during the month of July. The difficulty of the Ethereum network experienced a sudden reduction in difficulty of almost 20% at the end of June, followed by a slight and slow accumulation of 1. 6. % during the month of July. These points have an effect on our gross profit margins.
About HIVE Blockchain Technologies Ltd.
HIVE Blockchain Technologies Ltd. se made public in 2017 as the first cryptocurrency mining company with a power and ESG strategy.
HIVE is a generation inventory aimed at expansion in the emerging blockchain industry. As a company whose inventories are traded on a primary exchange, we are building a bridge between virtual currency and the blockchain industry and classic capital markets. HIVE has intermediate knowledge services powered by green energy in Canada, Sweden and Iceland, where we only source green energy for cloud mining, be it Ethereum and Bitcoin. Since the beginning of 2021, HIVE has kept the priority of its ETH and BTC coin mining rewards in secure storage. Our inventories will be offering investors exposure to the operating margins of virtual currency mining, as well as a portfolio of cryptocurrencies such as ETH and BTC. Since HIVE also owns durable assets, such as knowledge media and complex multipurpose servers, we believe our inventories will offer investors an exciting way to gain exposure to the cryptocurrency space.
We invite you to HIVE’s YouTube channel here to learn more about HIVE.
For more information and to subscribe to 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. ” Frank Holmes”Executive Chairman
For information, please contact:
Frank Holmes Phone: (604) 664-1078
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Forward-looking information
Except for statements of old facts, this press release “forward-looking data” within the meaning of the applicable Canadian securities law which is based on expectations, estimates and projections as of the date of this press release. The “forward-looking data” contained in this press release includes, but is not limited to, the Company’s business purposes and objectives; and other prospective data relating to the long-term intentions, plans and movements of the parts of the movements described herein and the terms thereof.
Factors that may also cause actual effects to differ slightly from those described in such forward-looking data include, but are not limited to, volatility of the virtual currency market; the Company’s ability to effectively exploit virtual currency; the Company may not be able to profitably liquidate its existing virtual currency stock as needed, or may not be able to liquidate; a significant decrease in the values of the virtual currency may also have a significant negative effect on the Company’s operations; value of volatility of virtual currencies; the continued effects of the COVID-19 pandemic may also have an adverse effect on the Company’s functionality, as supply chains are disrupted and prevent the Company from exhausting its expansion plans or operating its assets; and other similar hazards that are further described in the Company’s record and other documents disclosed in the Company’s filings in www. sec. gov/EDGAR and www. sedar. com.
The forward-looking data contained in this press release reflects the Company’s existing expectations, assumptions and/or ideals based on data the Company already has. In connection with the forward-looking data contained in this press release, the Company has made assumptions about the Company’s long-term objectives, purposes or plans, its timeliness and similar matters. prospective data are reasonable, prospective data do not guarantee long-term functionality, and therefore such data should not be unduly relied upon due to the uncertainty inherent in such data.
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