Publicly traded crypto mining company HIVE Blockchain Technology has signed a deal to buy ASIC chips from semiconductor manufacturer Intel that will be used in their new custom mining devices.
HIVE expects that the new devices will nearly double its aggregate Bitcoin mining hash rate from 1.9 to 3.8 Exahashes per second (Eh/s). They will begin arriving ready for use starting in the second half of 2022.
Intel stated in its patent for the chips, called “Bonanza Mine,” that the chips would also reduce the power consumption of mining operations by 15%. The reduction in power usage may allow HIVE to employ more devices, helping it increase its hash rate contribution even more.
Aydin Kilic President and COO of HIVE suggested that the new devices would be important in the future growth of the company and its hash rate contributions to the network. He said that the company is committed to “implementing these next-generation blockchain accelerators in (HIVE’s) green energy infrastructure.” Executive Chairman of HIVE, Frank Holmes, added:
“Intel’s commitment to challenging the status quo and commitment to energy-efficient products aligns very well with our ESG and clean energy commitment.”
Currently, New York state and several countries around the world are considering banning Bitcoin mining in the name of preservation of the environment and the power supply. HIVE may be protected against such complaints regarding its new Texas location by using a facility powered by renewable energy owned by digital infrastructure firm Compute North.
Application-specific integrated circuit (ASIC) chips are customized for a particular use. In the case of Bitcoin mining, they are designed to perform complex mathematical equations in order to create new blocks on the chain.