Digihost Provides Mining Operation Results for August and Announces a 185% Increase in Year-Over-Year Monthly Bitcoin Production
September 07 2021 - 7:30AM
Digihost Technology Inc. (“
Digihost” or the
“
Company”) (TSXV: DGHI; OTCQB: HSSHF), an
innovative North American based Bitcoin self-mining company, is
pleased to provide unaudited Bitcoin (“
BTC”)
production updates for August 2021. All amounts are expressed in
USD unless otherwise indicated.
Corporate Highlights for August 31,
2021:
- Produced 44.07 BTC during the
month, increasing total holdings to 446.2 BTC representing a fair
market value of approximately $21.0 million as at August 31,
2021.
- Total Ethereum
(“ETH”) holdings of 563.89 ETH representing a fair
market value of approximately $1.9 million as at August 31,
2021.
- Total digital asset inventory value
consisting of BTC and ETH of approximately $22.9 million at the end
of August.
- Cash on hand at August 31st was
approximately $18.9 million, and total cash and digital asset
holdings was approximately $41.7 million.
- Year-to-date deposits on equipment
and infrastructure to be completed in Q4 2021 pertaining to the
Company’s core business of approximately $24.1 million.
Bitcoin Mining Update
For the eight-month period ended August 31,
2021, the Company’s mining fleet produced 310.58 BTC, with
production broken down as follows:
- Quarter 1, 2021: 105.26 BTC
- January: 33.70
- February: 35.02
- March: 36.54
- Quarter 2, 2021: 109.97 BTC
- April: 37.52
- May: 34.26
- June: 38.19
- Quarter 3, 2021: 95.35 BTC
- July: 51.28
- August: 44.07
Quarter-Over-Quarter
Comparison
The Company mined approximately 23.57 more BTC
in the first two months of Q3 2021 (July and August 2021) compared
to the first two months of the previous quarter (April and May
2021), representing an increase of 33%. Based on the BTC prices in
these respective quarters and the increase in production of BTC
mined, the fair market value of the Company’s BTC mined on a
quarter over quarter basis increased by approximately $821k.
Figure 1. Quarter-over-quarter BTC Mining
|
|
|
|
|
Apr. & May |
Jul. & Aug. |
QTD Increase |
|
2021 |
2021 |
|
Mined BTC |
71.78 |
95.35 |
23.57 |
|
Approximate BTC value |
$47,542 |
$44,396 |
($3,145) |
|
Value |
$3,412,565 |
$4,233,159 |
$820,594 |
|
|
|
|
|
Year-Over-Year Monthly
Comparison
Compared to August of 2020, the Company mined
approximately 28.58 more BTC in August of 2021, representing an
increase of 185%. Based on August 31, 2021, BTC prices compared to
August 31, 2020, and the increase in production of BTC mined, the
fair market value of the Company’s BTC mined in August 2021
increased by approximately $1.9 million.
Figure 2. Year-over-year Monthly BTC Mining
|
|
|
|
|
|
8/31/2020 |
8/31/2021 |
MoM Increase |
|
Mined
BTC |
15.49 |
44.07 |
28.58 |
|
Approximate BTC value |
$11,681 |
$47,167 |
$35,486 |
|
Value |
$180,939 |
$2,078,650 |
$1,897,711 |
|
|
|
|
|
|
Management Commentary
Michel Amar, the Company’s CEO, stated: “We are
proud of the tremendous growth in our mining operations, as we are
on track to mine a higher fair market value of Bitcoin in Q3
compared to any previous quarter to-date. The expansion of our
mining production is exemplified by the substantial increase in
Bitcoins mined on a year-over-year basis. Consistent with the
Company’s objective to maintain continuous ESG compliance, we are
pleased to report that we voluntarily gave up peak hours of mining
for five days during the month of August in the middle of the
heatwave, providing our power to the grid in order to sustain air
conditioning for the local community. Maintaining environmentally
responsible operations remains one of our top priorities as part of
our DigiGreen Initiative, which includes a focus on being a
responsible corporate neighbor. We are proud to partner with the
local utility through their on demand program to ensure that our
community is able to sustain constant power during critical events
such as heat waves, and we will continue to commit to making power
available as needed.”
About Digihost Technology
Inc.
Digihost Technology Inc. is a growth-oriented
blockchain technology company primarily focused on Bitcoin mining.
The Company is currently hashing at a rate of 200PH with plans to
expand to a hashrate of 3.6 EH by the end of the first half of
2022.
For further information, please contact:
Digihost Technology
Inc.www.digihost.caMichel Amar, Chief Executive Officer T:
1-818-280-9758Email: michel@digihostblockchain.com
Cautionary Statement
Trading in the securities of the Company should
be considered highly speculative. No stock exchange, securities
commission or other regulatory authority has approved or
disapproved the information contained herein. Neither the TSX
Venture Exchange nor its Regulation Services Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this news
release.
Forward-Looking Statements
Except for the statements of historical fact,
this news release contains “forward-looking information” and
“forward-looking statements” (collectively, “forward-looking
information”) that is based on expectations, estimates and
projections as at the date of this news release. Forward-looking
information in this news release includes information about
hashrate expansion, diversification of operations, potential
further improvements to profitability and efficiency across mining
operations, potential for the Company’s long-term growth, and the
business goals and objectives of the Company. Factors that could
cause actual results, performance or achievements to differ
materially from those described in such forward-looking information
include, but are not limited to: continued effects of the COVID19
pandemic may have a material adverse effect on the Company’s
performance as supply chains are disrupted and prevent the Company
from operating its assets; the ability to establish new facilities
for the purpose of research & development; a decrease in
cryptocurrency pricing, volume of transaction activity or
generally, the profitability of cryptocurrency mining; delivery of
mining rigs for hosting may not be realized in the number
anticipated, or at all, and resulting hashing power may materially
differ from that anticipated; further improvements to profitability
and efficiency may not be realized; the digital currency market;
the Company’s ability to successfully mine digital currency on the
cloud; the Company may not be able to profitably liquidate its
current digital currency inventory, or at all; a decline in digital
currency prices may have a significant negative impact on the
Company’s operations; the volatility of digital currency prices;
and other related risks as more fully set out in the Annual
Information Form of the Company and other documents disclosed under
the Company’s filings at www.sedar.com. The forward-looking
information in this news release reflects the current expectations,
assumptions and/or beliefs of the Company based on information
currently available to the Company. In connection with the
forward-looking information contained in this news release, the
Company has made assumptions about: the current profitability in
mining cryptocurrency (including pricing and volume of current
transaction activity); profitable use of the Company’s assets going
forward; the Company’s ability to profitably liquidate its digital
currency inventory as required; historical prices of digital
currencies and the ability of the Company to mine digital
currencies on the cloud will be consistent with historical prices;
and there will be no regulation or law that will prevent the
Company from operating its business. The Company has also assumed
that no significant events occur outside of the Company's normal
course of business. Although the Company believes that the
assumptions inherent in the forward-looking information are
reasonable, forward-looking information is not a guarantee of
future performance and accordingly undue reliance should not be put
on such information due to the inherent uncertainty therein.
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