Hive Digital Secures $22M for Bitcoin Mining Growth

The company plans to utilize the funds to expand its Bitcoin mining operations, alongside working capital and general corporate needs.

Hive Digital Secures $22M for Bitcoin Mining Growth
Hive Digital Secures $22M for Bitcoin Mining Growth

The Bitcoin miner Hive Digital, which has its headquarters in Vancouver, British Columbia, has completed a private fundraising round worth $22 million.

The company completed the financing by selling 5.75 million special warrants for $5.00 (or $3.87) apiece, resulting in a total of $22.2 million (or $28.75 million) in cash, as stated in the announcement made on December 28th.

The special warrant unit consists of one share of the company’s common stock and fifty percent of the common share purchase warrant.

Before December 28, 2026, holders have the opportunity to exercise their warrant rights and purchase one Hive share for $6.0 (about $4.54) for every two warrants they own. The stock of Hive Digital is presently trading at C$7.15 ($5.41) a share.

The organization states that it will use the net proceeds of the Offering to support the growth of its Bitcoin mining footprint, as well as for working capital and general corporate purposes. “HIVE also anticipates being able to HODL [Hold On for Dear Life] all its Bitcoin until the upcoming Halving.”

With a mining capacity of 4.18 exahash per second (EH/s), the corporation can mine an average of 9.2 bitcoins every day throughout November. To put that into perspective, the total mining capacity of the Bitcoin network is 474.812 EH/s.

The increase in the price of Bitcoin has already paid off for Hive’s fleet of 3,750 Bitcoin ASIC miners, which it purchased in the previous year. Hive disclosed this information on December 8th. In the previous month, the business increased the size of its Bitcoin mining activities in Sweden.

To better reflect its “evolving focus” on financial prospects in artificial intelligence (AI), cloud computing, and graphics processing units (GPUs), Hive Digital removed the word “blockchain” from its business name earlier this year.