Hive Digital boosts bitcoin mining capacity with 6,500 ASICs
Hive Digital boosts bitcoin mining capacity with 6,500 ASICs
Hive Digital, a major Bitcoin mining firm based in Canada, is scaling up its operations as it expands into Paraguay with a new facility and an enhanced fleet of mining equipment. The Nasdaq-listed company, known for its early adoption of eco-friendly practices and its adaptation to changing market demands, recently acquired 6,500 new Canaan Avalon A1566 application-specific integrated circuits (ASICs), which will be delivered between December and March 2025. The expansion aims to boost Hive Digital’s hashrate from its current 5.6 exahashes per second (EH/s) to a projected 12.5 EH/s.
With the first batch of 500 ASICs already delivered in November, Hive Digital plans four additional shipments to complete its new setup. The upgrade is expected to improve mining efficiency significantly, reducing energy consumption from 22.3 Joules per terahash (J/TH) to 20.5 J/TH, according to Hive Digital’s partner, Canaan. The delivery of the full 6,500 ASICs is projected to bring an additional 30 megawatts of mining power online in Paraguay by the second quarter of 2025, ultimately increasing Hive’s hashrate to 8 EH/s in early stages and 12.5 EH/s as the Paraguay facility reaches full capacity.
Adaptation in the age of AI and crypto evolution
Hive’s Paraguay site, announced in July, will join the company’s existing locations in Canada, Sweden, and Iceland, adding 100 megawatts of capacity to its network. The facility marks Hive’s fourth country of operation, underscoring its global presence and commitment to supporting Bitcoin’s decentralized infrastructure. Canaan’s CEO Nangeng Zhang emphasized that Hive’s transparency and ESG (environmental, social, and governance) standards make it a vital partner in the sector, noting the company’s high Bitcoin output per active hashrate.
Hive Digital’s focus on expansion and innovation comes after a shift in business strategy following the Ethereum network’s transition from a proof-of-work to a proof-of-stake model. Previously active in Ethereum mining, Hive repurposed thousands of Nvidia GPUs for artificial intelligence operations after the Ethereum Merger. Today, Hive operates around 38,000 Nvidia GPUs, positioning the company at the intersection of blockchain and AI, two rapidly evolving industries.
As Hive Digital continues its ambitious expansion, the company highlights a strategic approach to growth in a sector facing regulatory and market pressures. The developments signal Hive’s commitment to staying competitive in the Bitcoin mining industry while adapting to new technological advancements, suggesting a balanced focus on both mining efficiency and broader tech applications.
Read also: MicroStrategy boosts Bitcoin holdings by 27,200 BTC
