Bitcoin miner HIVE Digital Technologies has unveiled plans to build a 100-megawatt mining site in Paraguay. The new location, the company’s first in the country, is expected to more than double the mining hashrate.
Meeting with the President and Ministers of Paraguay
The expansion announcement came after HIVE executives visited the country and met with Paraguayan President Santiago Peña and senior cabinet ministers. In a July 22 statement, HIVE said it had seen “huge potential for growth.”
HIVE estimates that the hashrate will increase from 5.6 exahashes per second to 12.1 EH/s once the site is complete.
Energy from hydroelectric power station
The new mining site will be powered by Paraguay’s Itaipu Hydroelectric Power Plant. This plant is popular among Bitcoin miners because it supplies all of Paraguay’s local electricity needs and produces a large amount of surplus electricity that can be used by miners.
Electricity costs are rising
However, the announcement comes just three days after Paraguay’s state electricity grid operator, Administración Nacional de Electricidad (ANDE), announced that it would raise electricity prices for legal cryptocurrency miners. The price increase is expected to go into effect on August 1. However, cryptocurrency miners in the region are trying to convince officials to reconsider the decision, arguing that otherwise the Paraguayan economy could face losses of up to $1.5 billion.
HIVE estimates its 100-megawatt facility will generate more than $100 million in revenue for ANDE over the next three years. The company will also hire local workers.
“We are confident that this business can deliver healthy returns and create long-term value, driving economic growth and innovation in the region,” HIVE said.
New acquisition and expansion to Paraguay
Meanwhile, HIVE also announced that it has acquired another 500 Bitmain S21 Pro Antminers, which are scheduled to ship this month.
Paraguay becomes the fourth country where HIVE is conducting mining operations, after Canada, Iceland and Sweden. HIVE currently holds 2,521 Bitcoin, which is worth over $170 million at current prices.
On July 22, the company’s (HIVE) stock price rose 8.4% to $4.50 on the Nasdaq, according to data from Google Finance. The clean-energy-focused miner is now up 2.5% in 2024, after falling more than 48% in the first five months of the year.
Source: https://newsbit.nl/hive-digital-technologies-kondigt-nieuwe-100-megawatt-bitcoin-mining-site-aan-in-paraguay/
