According to the company, Hive’s Ethereum mining activities have historically produced three to four times more profit per kilowatt than Bitcoin mining.
In the event that Ethereum switches to proof-of-stake, or PoS, in the near future, cryptocurrency miner Hive Blockchain has been working to replace the mining of Ether (ETH) with the mining of other coins.
Prior to the Ethereum Merge, the Canadian cryptocurrency mining company has been considering possibilities for mining using its GPU stockpile, according to Hive’s most recent production update on Tuesday.
The update states that Hive began putting several GPU-mineable coins through beta testing this week in anticipation of the Ethereum Merge PoS, which is anticipated to happen in the middle of September. The technical division of Hive is explicitly pursuing a plan to maximize its 6.5 terahashes per second Ethereum mining power.
“The company acknowledges the potential Ethereum Merge to Proof of Stake,” Hive said in the update. It noted that it sees a competitive landscape where the GPU miners with the most efficient equipment and lowest cost of electricity will prevail.
One of the biggest Ethereum mining operations in the world, Hive’s Boden plant in Sweden has power fixed at about $0.03 USD per kilowatt hour. The company said that “Hive is well positioned to manage the market ahead.”
Additionally, Hive pointed out that compared to Bitcoin (BTC) mining, their Ethereum mining activities historically produced three to four times more money per megawatt. In order to expand the Bitcoin mining program with a new generation of Application-Specific Integrated Circuits, the corporation has been selling its generated Ether. As of August 31, 2022, Hive still had 5,100 ETH.
By the end of August, Hive had accumulated a total of 3,258 BTC in its Bitcoin reserve. The update claims that Hive mined 290.4 BTC in August, generating more over 9 Bitcoin every day even after the difficulty of mining Bitcoin increased on August 28. According to prior reports, Hive is one of the few cryptocurrency mining firms that has chosen to hodl its mined Bitcoin throughout the current crypto winter of 2022.
The announcement coincides with the impending Ethereum Merge, a much-anticipated upgrade to Ethereum’s blockchain that will switch it from mining-based proof-of-work (PoW) to mining-free PoS. A step closer to the Ethereum Merge was made on Tuesday with the Bellatrix upgrade going live on the Beacon Chain, the network’s PoS chain.
