HIVE Reaches $200 Million Annual Run Rate and Purchases 4,000 Next Generation Miners
This news release constitutes a “designated news release” for the purposes of the Company’s prospectus supplement dated February 2, 2021 to its short form base shelf prospectus dated January 27, 2021
VANCOUVER, British Columbia, July 30, 2021 (GLOBE NEWSWIRE) -- HIVE Blockchain Technologies Ltd. (TSX.V:HIVE) (Nasdaq:HVBT) (FSE:HBF) (the “Company” or “HIVE”) is excited to announce that its
global operations are producing a BTC equivalent operational hash rate of 1.675 EH/s from its Bitcoin and Ethereum operations. Based on current Ethereum and Bitcoin prices, we are generating daily
income of $550,000, which translates to an annual run rate of $200 million. Estimated annual run rate operating and overhead costs are $25 million. In addition HIVE continues to strengthen its
miner purchasing pipeline with the purchase of 4,000 next generation miners with an aggregate operating hash power of 272 PH/s.
Global Hash Rate
With the addition of the 3,019 high performance Bitcoin miners that was announced on July 12, 2021, and additional miners that have been received since as part of our miner purchase program, we currently have a total bitcoin operating hash rate of 925 Petahash per second (PH/s). This puts us right on track of our previous projections of reaching 1 Exahash per second (EH/s) of Bitcoin operating hash rate in August. We currently project tripling our operational Bitcoin mining rate from here by the end of calendar year 2021, supported by today’s announcement of new miner purchases.
From our Ethereum production we currently have an operating hash rate of 3,383 Gigahash per second (GH/s). A number of our dedicated followers and analysts have been converting this Ethereum hash rate into a Bitcoin equivalent hash rate. Based on these calculations our current Ethereum hash rate is the equivalent of a Bitcoin hash rate of approximately 750 PH/s. This equivalent hash rate of 750 PH/s combined with our pure Bitcoin hash rate of 925 PH/s provides us with a total BTC equivalent operational hash rate of 1.675 EH/s (the “Global HIVE Hash Rate”).
Our strong Global HIVE Hash Rate is resulting in a daily income of over $550,000, or an annual run rate of $200 million, based on the current difficulty, global hash rates, and Bitcoin and Ethereum prices, with estimated annual expenses of $25 million. As expansion ramps up this number will increase. As always, we caution our investors that Bitcoin and Ethereum continue to have a high daily volatility of plus or minus 6% and investors need to be aware of this volatility.