HIVE sees Paraguay as a long-term companion for its stability and low-cost vitality
A number of crypto-focused organizations — together with Bitcoin (BTC) mining corporations — are eyeing a US return, primarily pushed by unsure geopolitical tensions. Nonetheless, BTC miner HIVE Digital Applied sciences is doubling down on the untapped potential of the Latin American market.
In an unique interview with Cointelegraph, HIVE Digital Applied sciences’ president and CEO, Aydin Kilic, mentioned that Paraguay presents a compelling long-term alternative outfitted with “geopolitical stability, low-cost hydro vitality, and a authorities open to international funding”.
Selecting up from the place Bitfarms left off
HIVE acquired Bitfarms’ 200 MW Yguazú facility for $56 million in January. Section 1 infrastructure of a 100 MW information middle on the website was accomplished in April, supporting 5 EH/s of Utility-Particular Built-in Circuit (ASIC) mining.
HIVE plans to increase to 300 megawatts (MW) of mining amenities in Paraguay in 2025. It goals to extend the hashrate to 25 exahash per second (EH/s) by September.
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The CEO mentioned HIVE has spent over a 12 months cultivating robust, cooperative relationships with native stakeholders in Paraguay. “We’re investing in native hiring, coaching packages, and powerful vendor partnerships. Our aim is to create an area ecosystem of help that retains prices secure whereas boosting uptime and effectivity,” he added.
Whereas there was a proposed ban on crypto mining in Paraguay as a result of stress it poses on the nation’s electrical energy provide and potential rising electrical energy costs, Aydin mentioned that their group is actively concerned with policymakers to help readability and cooperation in mining laws.
HIVE embraces international diversification to hedge in opposition to geopolitical dangers
HIVE has information facilities in Canada, Sweden and Paraguay. Contrasting with its ongoing LATAM enlargement, the miner is relocating its headquarters to San Antonio, Texas.
“Our rising presence in North and South America creates a balanced footprint resilient to geopolitical or commerce coverage shocks,” Kilic mentioned.
The US tariff on China raised considerations in regards to the rising price of mining tools, like ASICs. Kilic informed Cointelegraph that they’ve diversified sourcing channels for ASICs and electrical elements to keep away from single-region dependencies.
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To make sure scaling from 6 to 25 EH/s, the CEO mentioned they’ve locked in key ASIC orders, secured energy entry by way of long-term PPAs and expanded engineering capability throughout three continents to take care of market and technological uncertainties.
Profitability in Bitcoin mining is in the end a physics equation
Kilic sees Bitcoin mining revenue as a physics equation. He informed Cointelegraph that capital and operational bills depend upon hashrate-sensitive evaluation to hunt essentially the most accretive strategy to fund their enterprise by way of BTC treasury and ATM gross sales.
Whereas the solo mining group could have extra problem making earnings, the CEO steered the main target needs to be on the variables it could possibly management: “Whether or not you run one rig or ten thousand, it comes right down to controlling inputs like opex, energy prices, and machine uptime to drive predictable outputs — maximizing vitality effectivity, minimizing downtime and being disciplined with treasury administration.”
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