HIVE Digital sees 400% growth in Paraguay - ICYMI

HIVE Digital Technologies (TSX-V:HIVE, NASDAQ:HIVE) director and president for Sweden Johanna Thörnblad talked with Proactive about the company’s expansion into Paraguay, where it is growing its Bitcoin mining and data centre operations using renewable energy. She highlighted how HIVE has prioritized green energy in its global strategy, leveraging hydro and wind power across Sweden, Canada, and now Paraguay.

Thörnblad explained that HIVE started with a 100MW project in Paraguay and has recently announced an expansion to 420MW, representing a 400% growth over the next eight months. She emphasized that the country's abundant hydro energy and supportive regulatory environment make it a strategic location for HIVE’s expansion.

HIVE is also investing in AI and high-performance computing (HPC) alongside its Bitcoin mining operations. Thörnblad noted that flexibility in energy use is critical, and HIVE has played a role in balancing Sweden’s energy grid, demonstrating the company’s commitment to sustainability.

Discussing regulatory developments in the digital assets space, she expressed optimism about bipartisan efforts in Washington to create long-term policies for Bitcoin, blockchain, and AI.

Proactive: Johanna, very good to meet you. Could you start by telling us a bit more about your background and role at HIVE?

Johanna Thörnblad: Absolutely. Thank you so much for having me. I am responsible for HIVE’s Swedish operations. We've been working in Sweden since 2018, and I joined the company in 2021. At that time, we had one data center in the very north of Sweden, and we have since built out to five data centres. These provide power for Bitcoin mining, but we are also expanding into AI and high-performance computing (HPC), which is extremely exciting.

Proactive: Tell us, Johanna, how is HIVE successfully using green energy to mine Bitcoin?

Johanna Thörnblad: Using green and renewable energy was one of the key things that excited me about joining HIVE in 2021. When our chairman, Frank Holmes, introduced me to HIVE Digital Technologies, he highlighted that one of our core strategies was to operate in locations where renewable resources are available.

In northern Sweden, there is an abundance of renewable energy, mainly hydro, with some wind power in the system. We have systematically expanded into territories like Sweden, Iceland, Canada, and, most recently, Paraguay, where we can access renewable energy. As a data centre company, we believe it is crucial to focus on green energy expansion.

We are also working on other sustainability initiatives. HIVE was the first data center in Sweden to help balance the grid. Bitcoin mining equipment is ideal for grid balancing because it can power down rapidly. Within five seconds, we can reduce half of the capacity being used, and within 30 seconds, we can fully shut down operations in response to grid demands. This flexibility is increasingly important as regions transition to renewable energy.

Proactive: You mentioned the expansion of your operations into Paraguay. What makes Paraguay a suitable destination for Bitcoin mining?

Johanna Thörnblad: HIVE is always looking for growth opportunities, particularly in locations where renewable energy is available at a good price and where governments are supportive of our presence. Paraguay stood out as an attractive location.

I visited Paraguay about a year ago when we first began considering expansion there. I speak Spanish, so I joined the team in meetings with government officials. Paraguay has an abundance of hydroenergy available at competitive rates.

We believe that by establishing data centres there, we can contribute to Paraguay’s economy while also delivering value to our shareholders. We will be paying in U.S. dollars every month, which is a key factor for Paraguay’s economic outlook.

We initially launched a 100MW project in Paraguay and recently announced an expansion to 420MW—representing a 400% increase in capacity over the next eight months.

Proactive: How do the Paraguay operations complement your data centre operations in Sweden and your other global locations?

Johanna Thörnblad: We have data centre operations in Canada, Sweden, and now Paraguay. Initially, Paraguay’s operations will focus primarily on Bitcoin mining, similar to our work in Canada and Sweden. However, we are also heavily expanding into AI and HPC.

It will be interesting to see if Paraguay becomes another stepping stone for us, starting with Bitcoin mining and potentially expanding into AI and HPC, just as we have done in other regions.

Proactive: You recently spoke at the Digital Assets Forum in London. What was your message to the delegates there?

Johanna Thörnblad: I was pleased to share the stage with Anthony Scaramucci, who is well-connected with regulatory discussions in Washington. My key message was that this is an exciting time for Bitcoin mining.

The recent policy statements from Washington indicate that regulation is becoming a priority. There is bipartisan engagement in creating a long-term regulatory framework for Bitcoin, blockchain, and AI. We hope this effort will establish sustainable policies that won’t need to be rewritten every four years. The same regulatory workforce is also working on important and necessary regulations that will provide long-term benefits for the industry.

Proactive: Johanna, I hope you'll keep us posted on progress at HIVE. Thank you very much for your insights today.