Wall Street Bitcoin Miner HIVE Predicts 317% Increase in BTC Production Capacity

HIVE Digital Technologies (NASDAQ: HIVE) has completed the acquisition of the 200 MW Yguazú hydroelectric power plant from Bitfarms Ltd. in Paraguay. The move will increase the company’s mining capacity by 317%, from 6 exahashes per second (EH/s) to an expected 25 EH/s by September 2025.

One of Wall Street's leading Bitcoin (BTC) miners continues to expand its operations despite this year's BTC price correction. The cryptocurrency is down 25% from its all-time highs in January and is now testing four-month lows.

HIVE Digital Technologies aims to quadruple its capacity by 2025

The $56 million deal strengthens HIVE’s position in sustainable blockchain infrastructure, expanding its global footprint to 430 MW in Paraguay, Canada, and Sweden by Q3 2025. With the acquisition, HIVE will control 300 MW of mining infrastructure in Paraguay alone, including a previously announced 100 MW project in Valenzuela scheduled to launch in June.

Frank Holmes, Executive Chairman of HIVE

“This acquisition underlines our strategic focus on sustainable and rapid expansion,” said Frank Holmes, executive chairman of HIVE. “Increasing our operations to 3% of the global grid running entirely on green energy by September 2025 is a significant achievement.”

The Yguazú project will be completed in two phases, with the first phase scheduled to be completed by April 1, adding approximately 6 EH/s of hashrate. Construction is currently 80% complete. The second phase, scheduled for completion by August 31, will add another 6.5 EH/s, using a hydro-cooled ASIC to improve efficiency.

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Why is the price of Bitcoin falling?

Despite the tough times, HIVE continues to focus on expansion, even as Bitcoin prices fall and mining difficulty increases, significantly reducing profits.

As of March 18, 2025, Bitcoin is trading at $82,500 per BTC, down 25% from two months ago. On Tuesday, the price fell 1.8%, hovering around the psychological support level of $80,000 and reaching a four-month low.

BTC fell 18% in February, which negatively affected HIVE's performance. Last month, the miner mined 89 BTC, down from 102 BTC the previous month. According to the company, it is currently reallocating its resources to projects aimed at increasing its hashrate.

Bitmain S21+ Hydro ASIC

Aydin Kilych, President and CEO of HIVE

HIVE has secured ASICs for 15 EH/s of operational hashrate, including its existing 6.5 EH/s installed capacity and Bitmain’s 8.6 EH/s S21+ Hydro ASIC order announced last November. The company plans to make additional ASIC acquisition announcements in the coming months to reach its 25 EH/s target, with a fleet-wide efficiency of 16.5 joules per terahash.

“Our priority is to deliver shareholder value while promoting sustainable local growth,” said Aydin Kılıç, HIVE president and CEO. “This acquisition allows us to quadruple our capacity while maintaining one of the most energy-efficient operations in the industry.”

The deal includes ownership of a 240 MVA, 200 MW substation, and associated land and facilities. HIVE paid $25 million at closing, with the remaining $31 million to be paid in equal installments over six months. The company estimates the total net cost to complete the 200 MW facility to be $400,000 per MW.

HIVE is pleased to announce the completion of the acquisition of the 200 MW Bitfarms hydroelectric power plant in Paraguay.

This strategic expansion marks a 317% increase in mining power, increasing HIVE from 6 EH/s today to an expected 25 EH/s by September 2025. pic.twitter.com/udGdIAVndu

— HIVE Digital Technologies (@HIVEDigitalTech) March 18, 2025

New President of the Country in Paraguay

The expansion coincides with the appointment of Gabriel Lamas as President of Paraguay, which was announced the day before. Lamas, an electrical engineer with more than 20 years of experience in infrastructure and energy projects, previously served as Director of Infrastructure and Operations for Latin America at Bitfarms Ltd. and worked for Paraguay’s National Utility Company ANDE.

“As we become the largest private user of ANDE electricity, HIVE will play a key role in providing a stable stream of revenue dollars for the government,” Holmes said of Lamas’ appointment.

Last month, the Wall Street-based Bitcoin miner also hired Craig Tavares as president and chief operating officer of its Buzz HPC division, which specializes in GPU Cloud and high-performance computing (HPC) services.

Source: cryptonews.net