1. With Bitcoin holding above $100K, how has HIVE’s BTC-backed growth strategy—particularly using BTC on your balance sheet for ASIC orders—helped you scale without taking on debt?
At HIVE, we’ve always believed that Bitcoin isn’t just a commodity, but a strategic asset. Our hybrid strategy reflects that belief. We’ve historically retained a significant portion of the Bitcoin we mine, positioning ourselves to benefit from long-term price appreciation.
At the same time, we understand the importance of thoughtful, strategic growth. Our recent expansion in Paraguay is a perfect example of this balance. By leveraging a portion of our Bitcoin holdings to fund this initiative, with the strategic option to repurchase the BTC at a price lower than today’s market value, we’ve been able to scale meaningfully without assuming debt.
This disciplined, Bitcoin-backed growth strategy is enabling us to triple our global operating footprint by this summer, all while maintaining upside exposure to Bitcoin and avoiding debt. It’s a model we believe sets HIVE apart, demonstrating how digital assets can be used not only to preserve value, but also to drive sustainable, capital-efficient expansion.
2. You’ve structured ASIC purchases with a repurchase option. Can you explain how this works and how it gives HIVE a strategic advantage in managing volatility?
We strategically used our Bitcoin HODL as a pledge at $87,000, which means we can buy back the Bitcoin at this price anytime this year. With Bitcoin trading in the $105,000 range, this means an immediate profit (if exercised) of approximately $20,000 per Bitcoin. Or, if we want to get our Bitcoin HODL back to over 2,000, we can do so, which we would like to do, buying back these Bitcoin at $87,000. This is an accretive strategy because we can use cashflow from operations (which increases monthly now as our hashrate grows from 10 EHs to 18 EH and then 25 EHs), to buy back Bitcoin at these prices. Or, as our stock price rallies as HIVE is re-rated in multiple above $500m market cap and $1 billion market cap, the cost of capital from our equity goes down significantly, so we can use our equity at a much higher valuation to buy back Bitcoin at this attractive price!
3. Given HIVE’s forecasted potential of generating ~$1 million in BTC revenue per day at 18 EH/s, what is your margin target per BTC mined— and how sustainable is that if Bitcoin drops below $100K again?
Sustainability through all market cycles is a core part of our strategy. Once our 25 EH/s is deployed we will have a global fleet efficiency of 17.5 J/TH. This means at a Bitcoin price of $120K, our gross mining margin is approximately 60%. Furthermore, HIVE’s breakeven hash price is near $20 per PH per day, what this means is, at current difficulty levels, Bitcoin could drop to as low as $50,000 and HIVE can continue to mine profitably. We operate with one of the leanest teams in the industry, maintain the lowest G&A expenses among our peers, and are highly disciplined with capital allocation. This efficiency keeps our cost structure competitive, allowing us to remain profitable even if Bitcoin dips. We haven’t seen hashprice dip much below $40 in this halving cycle, so we expect it will be after the 2028 halving before we can see $20 HP, and HIVE is positioned to mine profitability through to then with its current fleet!
4. HIVE just passed 8.3 EH/s and is on track to triple that by Q4 2025. What key infrastructure or logistics challenges are you facing as you aim to hit 25 EH/s?
HIVE has made strong progress, completing and energizing the first 100 MW phase at our Yguazú site with a mix of proprietary BUZZ Miners and Bitmain S21+ air-cooled units. Phase 2 is well underway, with over 13,400 units already shipped, and the full phase will add 6.5 EH/s, bringing us to 18 EH/s.
Next, we’re preparing our Valenzuela site for another 100 MW of air-cooled infrastructure, with deployment ramping up from August through November. This positions us to exceed 25 EH/s and rank among the top global Bitcoin miners.
While we’re on track, we remain cautious. Ongoing global supply chain issues and tariff-related trade tensions could present delays. Our team is actively managing these risks to ensure we stay ahead of our deployment schedule.
5. Why is Paraguay a focal point for your expansion, and how does that geography help you achieve the efficiency and scale you’re targeting?
Paraguay offers a rare combination of advantages that align perfectly with HIVE’s strategy. It provides access to abundant, green, and low-cost hydroelectric power from the Itaipú Dam, the largest in the Western Hemisphere. The country is politically stable, has a surplus of clean energy, and benefits from consistent USD-denominated revenues, which supports economic reliability.
We’ve established strong relationships at the highest levels of government, including direct engagement with the President, ensuring long-term alignment and infrastructure support. This environment allows us to scale efficiently while advancing our commitment to sustainable, cost-effective Bitcoin mining.
6. With 100 MW live and 200 MW more in development, how are you ensuring reliable uptime and performance across your hydro-powered data centers in South America?
HIVE has always prioritized operational excellence and industry-leading uptime across all our global sites, and our expansion in Paraguay is no exception. To lead our efforts on the ground, we’ve appointed Gabriel Lamas as President of Paraguay Operations.
Gabriel is a seasoned electrical engineer with over 20 years of experience in large-scale energy and infrastructure projects across Latin America. His leadership has shaped both the digital and energy landscapes in the region, including key roles at Bitfarms and Paraguay’s national utility, ANDE.
Under his guidance, we’re building world-class, hydro-powered data centers with a strong focus on reliability, grid integration, and performance. His deep technical knowledge and proven track record in energy optimization ensure we maintain HIVE’s high standards as we scale in South America.
7. You’re positioning HIVE as a global leader in sustainable hashrate. How do you quantify and communicate the environmental impact of your operations to stakeholders and regulators?
At HIVE, sustainability isn’t just a value. It’s integrated into how we operate. In Canada, we recycle heat from our data center in Lachute to power a 200,000 square foot manufacturing facility, saving our partner hundreds of thousands of dollars annually in heating costs. It’s a clear example of how mining infrastructure can serve broader industrial ecosystems.
In Paraguay, we’re extending that mindset to community impact. After meeting with the governor of Cordillera, we committed to electrifying 18 rural schools that currently have no access to power. This kind of local engagement reflects our belief in doing business the right way by creating value not only for shareholders but also for the communities where we operate.
We communicate these efforts transparently with stakeholders and direct dialogue with regulators, showing that high-performance mining can be both efficient and responsible.
8. Are there plans to apply your hydro-powered model in other geographies— or even partner with governments looking to monetize surplus renewable energy through Bitcoin mining?
Our immediate focus is executing our roadmap to 25 EH/s by the end of the year. That said, we see significant potential in partnering with governments and utilities around the world to help monetize surplus renewable energy through sustainable Bitcoin mining.
We’ve proven that our hydro-powered model works, and we’re open to expanding it where it aligns with our values and strategic goals. So to that, I’d simply say: stay tuned.
9. Do you see clean-powered mining as becoming the industry standard— or will it remain a competitive edge for HIVE as other miners struggle with high energy costs and debt?
Sustainable mining has been core to HIVE’s ethos since day one. It drives how and where we grow, pushing us to be highly selective in choosing locations with access to clean, low-cost energy.
Whether it becomes the industry standard remains to be seen, but for now, it continues to be a clear competitive advantage. As many miners face rising energy costs and debt burdens, our early commitment to green power gives us operational stability and cost efficiency that others are now racing to replicate.
10. What’s your outlook for Bitcoin mining margins over the next 12–18 months— especially with upcoming halvings, energy price fluctuations, and potential ETF-driven price volatility?
We believe the true bull market for miners hasn’t arrived yet. A sustained hash price in the $80 to $120 per petahash per day range would reflect real strength. We’re currently around $55, so there’s meaningful upside potential.
Our focus remains on operational excellence and cost discipline. With energy volatility and macro uncertainty, staying lean and efficient is more important than ever. As we scale to 25 EH/s, our goal is to rebuild our HODL to over 2,000 Bitcoin. That long-term exposure, paired with low-cost, clean energy operations, positions HIVE to thrive across all market conditions.
