Hive Digital CEO Frank Holmes said the company plans to increase its capacity by more than 400% through its initiatives in Paraguay, a country with ample hydroelectric resources for the company's needs.

Hive Digital Announces 400% Expansion in Paraguay

Hive Digital, one of the world’s leading public Bitcoin miners, has unveiled ambitious plans for its operations in Paraguay. In a roundtable with The Street, Hive Digital executive chairman Frank Holmes shared details of the company’s future moves in the South American country known for its vast hydroelectric resources.

Holmes specified that the operation will significantly expand its scope, using Paraguay as one of the key bases to achieve a 400% increase in Hive Digital's operational capabilities.

He noted:

We will exceed the 400% mark. You have to take into account that over the next nine months we will be developing our capacities in Paraguay, which has huge reserves of hydroelectricity.

Additionally, Holmes explained that Paraguay provides the necessary conditions for the company to grow, as the government benefits significantly from the establishment of mining companies in the country. Excess energy from the Itaipu Dam, one of the largest in the world, which would otherwise be sold to Brazil at a lower price, is given to Bitcoin mining companies, who pay for it in dollars at a higher rate.

“We’re actually a great catalyst for the government because they’re going to get paid monthly in U.S. dollars for that electricity, and we’re going to help develop infrastructure in the region,” Holmes said.

Hive Digital announced its entry into Paraguay in July, amid measures to raise electricity rates for Bitcoin miners as the government sought to capture a larger share of the activity on Paraguayan soil. This has led some companies to consider leaving the country, stressing that rising prices will make it impossible to do business there.

Read more: Hive announces plans to enter Paraguay amid unrest over Bitcoin mining capacity boost

At the time, President Santiago Peña said that while the decision would reduce margins, it would not prevent mining companies from continuing their operations in Paraguay.

Read more: Paraguay's president dismisses Bitcoin mining companies' complaints about rising electricity rates, says high rates remain

Source: cryptonews.net