Key Points
- HIVE Digital reported a 51% year-over-year increase in its Bitcoin portfolio value.
- The company has started constructing a new 100 MW facility in Paraguay.
HIVE Digital, a cryptocurrency mining company, has announced its production results for October. The results revealed a 51% growth in the value of its Bitcoin portfolio compared to the previous year.
The company mined 117 Bitcoin in October, which is a 1% increase from the previous month. This brought the company’s HODL portfolio to a total of 2,624 Bitcoin.
Factors Behind the Growth
Frank Holmes, the executive chairman of HIVE Digital, mentioned in a press release that the growth of the company’s portfolio is due to the team’s careful management of capital. This strategy enabled the company to cover operational costs and minimize dilution.
The company also expressed optimism about the recent U.S. election results. They believe that the change in administration could positively impact the digital asset sector. They anticipate that the policies of the new administration will benefit both the Bitcoin ecosystem and capital markets.
Company Developments
In October, HIVE Digital issued 2,442,000 restricted share units to its staff and qualified consultants. According to the company, these shares are intended to align long-term incentives with shareholder interests. The shares will vest over a period of two years and will be locked for a minimum of one year.
Following the announcement of these results, HIVE Digital’s shares rose by 11% to $4.52, according to Nasdaq data.
The company also announced the commencement of construction on a new 100 MW facility in Paraguay. This move aligns with the company’s goal to capture 2% of the global Bitcoin mining capacity. The company first announced its plans to expand in Paraguay in July, stating that the new mining site would generate over $100 million in revenue for the country’s government-owned utility company.