By
Temitope Olatunji
April 26th, 2024
HIVE has now added the location in Sweden to mining facilities in Canada and Iceland.
Canada-headquartered BTC mining company HIVE Digital has announced its intention to buy an additional data center facility located in Sweden. It has been revealed that for this strategic acquisition, the company will pay with cash (up to $ 750,000) and equity (up to $1.5 million).
HIVE Digital is planning to use this site to increase its Bitcoin mining capacity. However, the Bitcoin miner did not specify the new data center’s current or expected hashrate or power capacity, only that the acquisition will support its ASIC miners to produce more Bitcoin.
At the moment, the rest of the acquisition process is predicated on regulatory checks and approval from the TSXV (TSX Venture Exchange). In addition, all securities issued as part of the agreement will be statutorily halted for four months and one day, starting on the date of issuance.
Speaking on the agreement, HIVE Sweden Country President Johanna Thornblad expressed excitement at the acquisition. Thornblad said the data center’s location is strategic, allowing HIVE to expand its operations and improve its overall growth strategy. Thornblad added:
“The new data center will enable HIVE to grow its regional footprint while further demonstrating its commitment to its ESG focus, sustainable practices, environmental responsibility, and energy efficiency with its newest “green” energy powered data center.”
Hive Digital Data Center to Help Merge Blockchain with AI
HIVE has now added the location in Sweden to mining facilities in Canada and Iceland. Recently, HIVE purchased 4,800 units of Antminer S19k Pro from Bitmain. In a company release, the plan is for Bitmain to deliver the equipment within 30 days of the agreement. The company plans for the new equipment to add computing power of up to 652 PH/s. Furthermore, the goal is to increase the efficiency of its mining fleet from 38J/TH to 23J/TH. In the last six months, the company purchased about 3,100 units of Bitmain’s Antminer S19 XP.
HIVE noted in its third-quarter earnings report that it has sold all its mined Bitcoin since July to cover operating and capital expenses. It also added that it sold 200 Bitcoin from its reserves. HIVE said it chose to do this instead of taking financial leverage or raising funds via new shares.
In July, HIVE became Hive Digital Technologies after changing from Hive Blockchain Technologies. The company decided to drop “Blockchain” from its name as it switched its focus towards artificial intelligence (AI). HIVE said the decision to rebrand is to promote a “mission to drive advancements” and also “support the new web3 ecosystem”.
According to CEO Aydin Kilic, Blockchain and AI are both pillars of Web3 and can co-exist. Kilic says HIVE intends to leverage both technologies, especially as “AI allows Web3 to be more adaptive”. Speaking to CoinTelegraph, the CEO explained that Web2 uses a lot of metadata but sacrifices user privacy because big tech and internet companies harvest the data for profit. On the other hand, blockchain allows privacy but lets users own their data. But without metadata, a curated web experience is difficult. According to him, this is where AI comes in, to make the entire experience intuitive and adaptive.