“Hive Digital Chairman Frank Holmes stated that the company expects to expand its capacity by over 400% with its initiatives in Paraguay, a country that offers ample hydroelectric energy for the company’s operations.
Hive Digital Hypes 400% Expansion in Paraguay
Hive Digital, one of the largest public bitcoin miners in the world, has announced big plans regarding its activities in Paraguay. At The Street’s Roundtable, Hive Digital Executive Chairman Frank Holmes revealed the upcoming steps of the company in the South American nation, known for its abundant hydroelectrical resources.
Holmes explained that the operation would expand its operations extensively, taking Paraguay as one of its most relevant bases to achieve an increase of 400% in Hive Digital’s operative capacity.
He stated:
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.
In addition, Holmes explained that Paraguay offered the conditions needed for the company to grow, as the government benefits greatly from the establishment of bitcoin mining companies in the country. The energy surplus from the Itaipu dam, one of the largest in the world, that would otherwise be sold to Brazil at lower costs, is sold to bitcoin companies that pay in dollars at a higher rate.
“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,” Holmes stated.
Hive Digital announced its entrance into Paraguay in July, amidst the enactment of power fee hikes directed to bitcoin miners, as the government aimed to take a bigger cut of these activities on Paraguayan soil. This made some companies consider abandoning the country, stressing that the price increases would make practicing the activity unfeasible in the country.
Read more: Hive Announces Plans to Move Into Paraguay Amidst Bitcoin Mining Power Hike Turmoil
At the time, President Santiago Pena stated that while the decision would lower the margins obtained, it would not discourage mining operators from continuing their activities in Paraguay.
Read more: Paraguay’s President Dismisses Complaints About Power Fee Hikes From Bitcoin Mining Companies, Asserts High Interest Remains
