HIVE Blockchain - Frank Holmes, Executive Chairman.
Frank Holmes, Executive Chairman.
Source: HIVE Blockchain.
  • 307 Bitcoin produced in the month of October from ASIC and GPU mining operations
  • Bitcoin mining capacity increased to 2.38 Exahash in October
  • HIVE has received all 140 PH/s of its Micro BT M30S++ miners, which are in the process of being installed
  • HIVE Blockchain Technologies provides infrastructure solutions in the blockchain industry, including the mining of digital currencies
  • Shares of Hive Blockchain Technologies Ltd. (HIVE) opened trading at C$3.86

HIVE Blockchain Technologies (HIVE) has provided production figures from its Bitcoin and Ethereum mining operations for October 2022.

As of November 5, the company holds a balance of 3,311 Bitcoin.

Summary:

  • HIVE has a strong balance sheet, with approximately US$70 million of Bitcoin and no expensive borrowing against equipment like ASICs or GPU chips or digital assets.
  • HIVE owns all of its ASICs and GPUs with clear titles; there are no debt servicing payments associated with any of our digital assets or crypto-mining hardware.
  • HIVE has produced 307 Bitcoin in the month of October from ASIC and GPU mining operations, representing an average of 115 Bitcoin Per Exahash.
  • HIVE has received all 140 PH/s of its Micro BT M30S++ miners, which are in the process of being installed (currently, approximately 80 PH/s have been installed).
  • HIVE expects to receive over 1 Exahash of the HIVE Intel Bitcoin ASIC miners projected growth in the next 3-4 months with scheduled deliveries.

October 2022 production figures:

  • 262 Bitcoin produced from ASIC mining operations;
  • 2.38 Exahash of Bitcoin mining capacity at the end of October, with an average hashrate of 2.28 Exahash of Bitcoin mining capacity during the month of October from ASIC mining operations, with an average of 115 Bitcoin per Exahash;
  • Our GPUs mined an additional 45 Bitcoin in October.

Frank Holmes, Executive Chairman of HIVE, commented on the results.

“We are very happy to be producing over 300 Bitcoin per month, which is about 1% of the global network, even when network difficulty is at an all-time high. We have sold all our Ethereum holdings. In October, we produced an average of 9.9 Bitcoin per day.”

Mr. Holmes added,

“I am very pleased with HIVE’s growth of Bitcoin ASIC hashrate over the last year, without taking on the risk of expensive equipment financing or Bitcoin-backed loans. Most of the mining industry is plagued with loans and debt, where either their Bitcoin balance sheet is encumbered or the ASIC hardware they have purchased has expensive debt associated with it. The leveraging of assets during the bull market is causing great stress for our peers in the mining industry, as asset values have corrected to bear market conditions. HIVE has maintained a strong position and pursued a steady rate of growth as our Bitcoin mining footprint expands, without expensive, high-risk debt and without encumbering or collateralizing any of our Bitcoin assets.”

Aydin Kilic, President & COO of HIVE, noted,

“We continue to strive for operational excellence, ensuring that as we scale our hashrate, we also optimize our uptime to ensure ideal Bitcoin output figures. Our fleet of GPUs now use a unique algorithm to mine altcoins, which are exchanged for Bitcoin. Therefore, HIVE earns and takes custody of Bitcoin only. This month our GPU fleet produced 45 BTC. This is in addition to the 262 Bitcoin produced from our Bitcoin ASIC mining operations during October, for a total of 307 Bitcoin produced.”

The company’s total Bitcoin production in October 2022 was:

  • 307 BTC Produced
  • 9.9 BTC produced per day on average
  • 2.77 Exahash of BTC Hashrate (Bitcoin ASIC hashrate plus Bitcoin GPU hashrate) as of October 31, comprised of 2.38 Exahash of Bitcoin ASIC hashrate and 0.39 Exahash of Bitcoin GPU hashrate, with a monthly average of 2.67 Exahash, which is equal to 115 Bitcoin per Exahash.

HIVE current bitcoin production

As of November 2, HIVE is producing an average of over 9.5 Bitcoin per day from ASIC and GPU production, comprised of over 8 Bitcoin per day from our ASIC fleet and over 1 Bitcoin per day from our GPU fleet.

The company has received 140 PH/s of MicroBT M30S++ miners. These machines have been partially installed with approximately 66 PH/s of remaining as of press time. It is expected that this will increase HIVE’s ASIC hashrate to approximately 2.44 Exahash during the month of November once installed. In addition to the GPU-based mining, which provides an equivalent 0.39 Exahash of Bitcoin hashrate, HIVE’s expected total Bitcoin hashrate from ASICs and GPUs will be over 2.7 Exahash by the end of November.

Bitcoin HODL update

The company’s balance sheet of Bitcoin has grown in the last fiscal quarter, where at the period ended June 30, 2022, HIVE had 3,231 Bitcoin, and as of November 5, 2022, HIVE has 3,311 Bitcoin, with a market value of over US$70 million.

This increase in Bitcoin treasury comes during a time when the company has completed capital expenditure commitments for ASIC and infrastructure growth. The company believes that a prudent treasury management strategy with a term long view to protect the balance sheet from market volatility and build value for shareholders is of key importance in the crypto-mining industry.

Network difficulty factors are a significant variable in the company’s gross profit margins. The Bitcoin network difficulty saw a total 17 per cent increase during the month of October. Accordingly, Bitcoin mining difficulty had increased substantively for the month of October relative to the month of September.

HIVE Blockchain Technologies is in the business of providing infrastructure solutions in the blockchain industry, including the mining of digital currencies.

Hive Blockchain (HIVE) Stock opened trading at C$3.86.


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