Hive Strikes a Deal With Intel to Buy New ASIC Chips for Bitcoin (BTC) Mining

Crypto miner Hive Blockchain has announced a Supply Agreement with Intel to buy new ASIC chips. Pitched as “high-performing,” these chips will be incorporated into mining equipment that will be custom-made for Hive. The company has also struck a manufacturing deal with an ODM (original design manufacturer) that focuses on electronics manufacturing.d

Intel Supply Agreement

According to the official announcement, the deal is part of its US expansion plans. Hive revealed that ODM will integrate Intel’s blockchain accelerators into an air-cooled Bitcoin (BTC) mining system. Under the agreement, Hive’s engineering team will work closely with Intel and draw on its expertise in hardware and software implementation as well as the ODM partner on the systems integration.

The delivery of the miners is expected to start in the second half of 2022 and continue for over one year. Hive also estimates an increase of 95% in its aggregate Bitcoin mining hash rate from 1.9 Exahash per second once the miners are installed.

Aydin Kilic, President and COO of Hive, acknowledged that the team was excited to take the step with the North American-based semiconductor manufacturer after months of careful planning and stated:

“HIVE is committed to implementing these next-generation blockchain accelerators in its green energy infrastructure. This Intel Supply Agreement coupled with the ODM manufacturing agreement creates a pathway from chip production to an ASIC miner that sets us apart from our competitors.”

The exec also went on to add,

“Hive’s vision is to be a technology leader in the crypto-mining space, pushing the envelope in research and development initiatives, paired with hash rate analytics, to optimize the efficiency of our operations and maximize return on invested capital.”

As part of its US expansion deal, Hive Blockchain also revealed entering into a non-binding Letter of Intent (LOI) with the Minnesota-based Compute North that deals with sustainable, large-scale computing infrastructure. The firm intends to use 100 MW deployment at one of Compute North’s renewable energy sites in Texas.

Hive Q3 Revenues Soar

The crypto miner said earlier that its 2021 third-quarter revenues witnessed an increase of almost 400% to a record $68.2 million as opposed to figures from the same quarter the previous year.

For the three-month period ending of December 31st, Hive’s net income climbed above a whopping $64 million, meaning a surge of 7% from last quarter, and 273% since the prior year. During the same period, Hive mined 697 Bitcoin (BTC) and over 7,126 Ethereum (ETH).

Hive is known to mine Bitcoin and other cryptocurrencies using renewable energy sources. In an exclusive interview with CryptoPotato, Frank Holmes, its Executive Chairman, said “green” bitcoins will eventually become more valuable over time than those mined with coal (for example).