Hive Digital aims to increase its mining capacity in Paraguay by over 400%, leveraging the country’s surplus hydroelectric power. Chairman Frank Holmes highlights the benefits to both the company and the Paraguayan government from this expansion, as U.S. dollars flow into the local economy. CEO Santiago Pena’s administration reassures miners about continuing operations despite proposed fee hikes.
Hive Digital, a leading public bitcoin miner, has unveiled plans to significantly expand its operations in Paraguay, aiming to increase capacity by over 400%. During The Street’s Roundtable, Executive Chairman Frank Holmes emphasized Paraguay’s advantageous hydroelectric resources as fundamental to this growth strategy, highlighting it as a key base for future operations.
Holmes outlined the expected operational boost, stating, “We’re going to go up above 400%. You got to think that we’re going to be having triplets over the next nine months as we build out Paraguay, which has a huge surplus of hydroelectricity.” The company is positioning itself favorably within Paraguay’s energy landscape, which is supported by the surplus energy from the Itaipu Dam.
Additionally, Holmes pointed out the mutual benefits for Hive Digital and the Paraguayan government, noting that bitcoin mining companies pay in U.S. dollars for electricity. He remarked, “We’re actually a great engine for the government because they’re going to get paid U.S. dollars every month for that electricity, and we help build out the infrastructure within the community.”
Despite ongoing power fee increases impacting bitcoin miners, Hive Digital remains committed to its expansion in Paraguay, having first announced its entrance into the market in July. President Santiago Pena assured that these changes would not deter mining operations, albeit they could reduce profit margins for these companies.
Hive Digital is poised for significant growth in Paraguay, planning to expand its capacity by over 400% due to the country’s abundant hydroelectric resources, particularly from the Itaipu Dam. The firm plays a crucial role in delivering economic benefits to the local government by generating revenue in U.S. dollars. Despite challenges posed by increasing electricity fees, Hive remains determined to establish a strong foothold in Paraguay.
Original Source: news.bitcoin.com
