HIVE Digital Technologies boosts January Bitcoin production and hashrate as expansion accelerates

HIVE Digital Technologies reported a major jump in its Bitcoin mining performance for January 2026, showing sharp year-over-year growth in both Bitcoin production and computing power (hashrate). The update highlights how the company is using a mix of renewable-powered sites, high-efficiency mining hardware, and geographic diversification across multiple continents to improve consistency, scale, and long-term competitiveness.

In simple terms, HIVE is saying: it mined more Bitcoin, it did it more efficiently, and it’s preparing to scale further—while also positioning itself to expand into AI and high-performance computing (HPC) infrastructure. Below is a detailed breakdown of what the company announced, why it matters, and what investors typically look for next.

Key January 2026 highlights at a glance

HIVE’s January update included several headline metrics that show how its mining operations performed during the month:

• Bitcoin produced: 297 BTC in January 2026, up from 102 BTC in January of the prior year.
• Average daily production: 9.6 BTC per day during the month.
• Average hashrate: 22.2 EH/s, with a peak of 23.7 EH/s.
• Year-over-year hashrate growth: 290%.
• Average fleet efficiency: 17.5 J/TH (joules per terahash).
• Estimated share of global network: sustained more than 2% of the global Bitcoin network hashrate.

These metrics matter because Bitcoin mining is a scale-and-efficiency game. When network difficulty rises, miners generally need either more machines, better machines, cheaper power, or ideally all three—just to keep up.

Why “network difficulty” makes these results more meaningful

HIVE noted that the broader Bitcoin network difficulty increased significantly year over year. Difficulty is a network-level setting that adjusts over time to keep block production steady. When difficulty rises, miners must perform more computations to earn the same block rewards, which often means:

• Less Bitcoin mined per unit of hashrate (all else equal)
• More competition among miners globally
• Greater emphasis on energy cost, operational uptime, and hardware efficiency

So, a strong production month against a tougher difficulty backdrop can be interpreted as an operational win—especially if it’s supported by measurable hashrate growth and improving efficiency.

Hashrate growth: what it signals about HIVE’s scale

Hashrate is essentially the computing horsepower a miner brings to the Bitcoin network. HIVE reported an average hashrate of 22.2 exahash per second (EH/s) and a peak of 23.7 EH/s. For context, miners track hashrate closely because it affects:

• Probability of earning block rewards (more hashrate generally improves expected results)
• Revenue stability (bigger fleets can smooth out variability)
• Operating leverage (larger platforms can spread fixed costs across more production)

HIVE’s reported 290% year-over-year hashrate growth points to a substantial scaling effort—likely driven by ongoing hardware deployments, infrastructure build-outs, and optimization work across its sites.

Peak vs. average hashrate: why both numbers are important

Mining companies often show both average and peak hashrate because they tell different stories:

• Peak hashrate can reflect maximum capability during best-case conditions.
• Average hashrate better reflects real-world performance after accounting for downtime, maintenance, curtailment, and site-level disruptions.

When a company shows a strong average and a higher peak, it may suggest there is still room to optimize uptime and push closer to maximum capacity more consistently.

Efficiency: the quiet metric that can decide profitability

HIVE reported average fleet efficiency of 17.5 J/TH. Efficiency is critical because electricity is typically the largest ongoing cost in mining. Lower J/TH generally means:

• More hashing power for the same energy input
• Lower cost to produce each Bitcoin (depending on power price)
• Better resilience during periods of price volatility or rising difficulty

Put plainly: two miners with the same hashrate may not be equally profitable if one uses significantly more electricity to produce that hashrate.

Geographic diversification: Canada, Sweden, and Paraguay

HIVE described operations across Canada, Sweden, and Paraguay, spanning nine time zones and three continents. That geographic spread can matter for several reasons:

• Weather and seasonality: different climates can impact cooling needs and operational stability.
• Grid and power mix: renewable availability, pricing, and grid rules vary by region.
• Operational redundancy: issues in one region may be offset by uptime elsewhere.
• Regulatory diversification: policy changes in one country may not affect the entire fleet.

Why Paraguay was highlighted during northern hemisphere cold events

The company said its model supported consistent performance during cold-weather events in the northern hemisphere, with continued uptime at its Paraguayan operations. In practice, extreme weather can disrupt operations through:

• Power interruptions or grid stress
• Transportation delays for parts and maintenance crews
• Facility constraints and safety shutdowns

If a miner can keep uptime steady across regions when weather disrupts one part of its footprint, it may reduce revenue volatility month to month.

Leadership commentary: renewables, efficiency, and the next chapter

HIVE’s CEO Aydin Kilic connected the January performance to long-term investment in renewable energy, high-efficiency hardware, and a decentralized global team. He also framed January’s results as supportive of a broader strategy that includes expansion into AI and high-performance computing infrastructure.

That’s an important theme: many public miners are increasingly positioning themselves as more than “just Bitcoin miners.” Some are building or acquiring data center capabilities that can potentially serve other compute-heavy markets, including AI workloads. The logic is straightforward:

• Bitcoin mining uses specialized machines (ASICs) that do one job.
• AI/HPC typically uses GPUs or other data center compute that can serve multiple customers and use cases.
• A diversified compute platform can, in theory, reduce dependence on a single revenue stream.

Of course, execution matters. AI/HPC is competitive, capital-intensive, and not guaranteed to deliver the same margins as hoped. Still, investors often watch these transitions closely because they may shift how the market values the company over time.

Bitcoin pledge and “cashless exercises”: what HIVE said happened

HIVE disclosed that it realized approximately $7.4 million in value from cashless exercises tied to its 2025 Bitcoin pledge, based on an average value of about $102,000 per Bitcoin. While the phrase can sound technical, the practical takeaway is that HIVE is describing a financing-related mechanism where Bitcoin-linked arrangements were exercised without a traditional cash exchange, resulting in value being realized.

Importantly, the company also explained how part of the proceeds were used: it purchased 2,667 Bitmain S21 XP ASIC miners, which are being installed at the Yguazú facility in Paraguay.

Why the Bitmain S21 XP deployment matters

Newer-generation ASIC miners are typically pursued for two main reasons:

• Better efficiency (lower energy use per unit of work)
• Higher output per machine (more hashrate per device)

As difficulty rises, fleets with outdated machines can get squeezed. By adding modern ASICs, HIVE is attempting to keep its fleet competitive and improve the economics of each megawatt deployed.

Near-term target: 25.5 EH/s and improved efficiency

HIVE expects that the upgrades underway will increase installed global hashrate to 25.5 EH/s and improve average fleet efficiency to about 17 J/TH. If achieved, that would mean:

• A higher production capability (subject to difficulty and uptime)
• Better energy efficiency, which can strengthen margins
• A stronger competitive position relative to peers operating less efficient fleets

Investors typically watch whether these targets are met on schedule and whether the ramp-up affects overall uptime during installation periods.

Energy capacity: 440 MW today, more planned for 2026

HIVE said it currently operates with 440 megawatts (MW) of renewable-powered energy capacity. It also noted an additional 100 MW scheduled for deployment in the third quarter of 2026, bringing total planned capacity to 540 MW.

For miners, megawatts are a foundational scaling metric because MW capacity ultimately constrains how much hardware can be hosted and powered. In broad terms:

• More MW can support more hashrate (assuming hardware is available and installed).
• Cheaper MW can improve profitability (depending on contracts and curtailment).
• Renewable MW can support ESG-focused narratives and may reduce regulatory friction in some jurisdictions.

How MW expansion connects to AI/HPC ambitions

HIVE noted that the additional capacity may support future expansion in Bitcoin mining as well as potential AI and high-performance computing workloads. This is a key strategic point: data centers that can handle advanced compute often require:

• Reliable and scalable power availability
• Robust cooling and facility design
• Network connectivity and operational staffing

If HIVE can align infrastructure build-outs with both mining and broader compute services, it may create optionality. But again, optionality only becomes value when it’s executed with strong customers, competitive pricing, and dependable uptime.

Chairman’s view: scale, flexibility, and staying profitable through cycles

HIVE’s executive chairman Frank Holmes emphasized that teams operating across nine time zones help the business scale efficiently and remain profitable through market cycles. He also highlighted the reported 290% year-over-year growth and the company’s claim of sustaining more than 2% of global hashrate.

In the mining sector, “cycle” language usually refers to the combined effect of:

• Bitcoin price volatility
• Difficulty and hashrate competition
• Energy price swings and regional power constraints
• Hardware cycles (new models arriving and older machines becoming less competitive)

Companies that can lower costs and maintain uptime typically have better odds of surviving downturns and scaling into upturns.

What this update may mean for investors and industry watchers

1) Strong growth signals—but verify sustainability

A big year-over-year jump in production and hashrate can look impressive, but investors often dig into sustainability questions such as:

• Is hashrate growth supported by stable power contracts?
• Will fleet efficiency continue improving as planned?
• How much downtime occurs during upgrades and deployments?
• How does the company manage treasury (holding vs. selling Bitcoin)?

2) Efficiency and power strategy can matter more than headlines

Two miners can report similar hashrate growth, but the one with better efficiency and cheaper, reliable power can often weather volatility more effectively. That’s why metrics like J/TH and total MW capacity are often as important as total BTC mined.

3) AI/HPC positioning may reshape the story

HIVE’s mention of AI and HPC suggests a desire to be valued as a broader digital infrastructure player, not only a Bitcoin miner. If the company successfully builds meaningful revenue streams from AI/HPC, it could potentially:

• Diversify income beyond mining rewards
• Reduce dependence on Bitcoin price cycles
• Increase utilization of data center infrastructure

However, AI/HPC is not a “flip the switch” business. Investors usually look for concrete milestones such as customer announcements, utilization rates, revenue disclosures, and margin performance over multiple quarters.

Risks and watch-outs (balanced view)

Even with strong operating updates, Bitcoin mining remains a high-competition industry with meaningful risks. Key watch-outs commonly include:

• Difficulty increases: rising network difficulty can compress margins if hashrate growth doesn’t keep pace.
• Bitcoin price swings: revenue can drop quickly if price falls while costs remain steady.
• Execution risk: delays in hardware installation or facility expansion can push back targets.
• Power and curtailment risk: local grid rules or power shortages can reduce uptime.
• Regulatory shifts: policy changes can affect operations, taxes, or energy access.
• Technology obsolescence: ASIC performance advances can make older hardware less economical.

For that reason, month-to-month production updates are best interpreted as part of a broader operational trend rather than a standalone guarantee of future performance.

Frequently Asked Questions (FAQ)

What does “EH/s” mean in Bitcoin mining?

EH/s stands for exahash per second, a measure of computing power. One exahash equals one quintillion (10¹⁸) hashes per second. Higher EH/s generally means a miner has more computational strength competing on the network.

Why is “J/TH” an important metric?

J/TH means joules per terahash and measures energy efficiency. Lower J/TH indicates a miner uses less energy to generate the same amount of hashing work, which can reduce operating costs and improve profitability.

How did HIVE’s Bitcoin production change year over year?

HIVE reported producing 297 BTC in January 2026, compared with 102 BTC in January of the prior year, representing a substantial increase in output.

What is “network difficulty,” and why does it matter?

Network difficulty is a built-in Bitcoin mechanism that adjusts how hard it is to mine a block. When difficulty rises, miners need more computing power to earn the same rewards, which can impact profitability unless they scale and improve efficiency.

Why is HIVE installing new Bitmain S21 XP miners in Paraguay?

Newer miners like the Bitmain S21 XP are typically deployed to improve efficiency and increase hashrate. HIVE said these units are being installed at its Yguazú facility to help raise its total installed hashrate and improve fleet efficiency.

What is HIVE’s planned energy capacity expansion?

HIVE stated it operates with 440 MW of renewable-powered capacity and expects an additional 100 MW to be deployed in Q3 2026, bringing total planned capacity to 540 MW.

How does AI and HPC fit into a Bitcoin miner’s strategy?

AI and high-performance computing can provide alternative revenue streams that may be less tied to Bitcoin price cycles. If a mining company builds or upgrades data center infrastructure to serve AI/HPC customers, it could diversify its business—though success depends on execution, customers, and sustained utilization.

Conclusion: a strong January, with bigger ambitions ahead

HIVE’s January 2026 update paints a picture of a miner that is scaling quickly, improving efficiency, and leaning into a diversified infrastructure narrative. The combination of higher Bitcoin production, rapid hashrate growth, ongoing ASIC upgrades, and planned power capacity expansion suggests the company is focused on being competitive in a tougher mining environment—while also building a bridge toward AI and HPC opportunities.

Going forward, the most important checkpoints will likely be whether HIVE hits its targeted 25.5 EH/s, achieves the expected efficiency improvements, deploys the planned additional 100 MW on schedule, and provides clearer evidence of progress in AI/HPC commercialization. If those pieces come together, the company could strengthen its position both as a miner and as a broader digital infrastructure operator.

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