Hut 8 Expands Partnership with Bitmain, Unveils New ASIC Miner for 860 Terahash Performance

Bitcoin mining firm Hut 8 has announced the expansion of its partnership with mining hardware manufacturer BITMAIN, unveiling the next-generation ASIC miner, U3S21EXPH. The new miner, launched on September 19, features groundbreaking direct liquid-to-chip (DLC) cooling technology and improved performance.

It boasts a remarkable efficiency of 860 terahash at 13 joules per terahash, making it one of the most efficient ASIC miners on the market.

This partnership strengthens Hut 8’s mining capacity with a plan to deploy the new model in Q2 2025 under a hosting agreement.

Hut 8 and BITMAIN Expand Innovation Partnership with Launch of Next-Generation BITMAIN Miner – Green Stock News https://t.co/JlQavISfXZ $HUT #cleantech #blockchain pic.twitter.com/sJ0mk59VNU

— Green Stock News (@greenstocknews) September 19, 2024

This agreement is expected to increase Hut 8’s hash rate under management from 18.5 exahash per second (EH/s) to approximately 33.5 EH/s.

A New Era in Bitcoin Mining Efficiency

The U3S21EXPH is the first ASIC miner mass-commercialized by BITMAIN featuring DLC cooling within a “U” form factor compatible with high-performance computing (HPC) architectures. This innovation is aimed at making Bitcoin mining more scalable and efficient.

• Key Features of U3S21EXPH:
  • 860 terahash capability at 13 joules per terahash efficiency.
  • Direct liquid-to-chip cooling technology for enhanced performance.
  • U form factor, improving compatibility with HPC-style architecture.

Asher Genoot, CEO of Hut 8, emphasized the importance of the partnership in advancing ASIC compute technology and creating scalable models for data centre design.

A unique ASIC-miner has been unveiled.

Mining company @Hut8Corp has partnered with hardware manufacturer Bitmain, and the result of the cooperation is a new ASIC-miner U3S21EXPH.

It is the world's first model equipped with direct liquid cooling chip technology to maximise… pic.twitter.com/2HoLSwRJ88

— TU_Crypto_News (@TU_Crypto_News) September 19, 2024

The collaboration between the two firms allows for greater supply chain synchronization across Bitcoin mining and HPC data centres.

Growing Hashrate and Hosting Agreement

Hut 8 has entered into a hosting agreement with BITMAIN for the U3S21EXPH, which includes a fixed hosting fee and an option to purchase some or all of the hosted machines within six months of deployment.

The hosting agreement is set to increase Hut 8’s hash rate under management to nearly 33.5 EH/s from its current 18.5 EH/s.

If Hut 8 exercises its purchase option for the full 15 EH/s, the firm’s self-mining hash rate could rise to 20.6 EH/s from 5.6 EH/s.

The only problem with that is that it's not true. Hashrate hasn't moved in six months. pic.twitter.com/6qFoct9fbX

— Samurai0 (@SAMURAISAM0) September 17, 2024

BITMAIN’s Vice President of Mining, Irene Gao, commented on the strengthened relationship, highlighting Hut 8’s technical expertise and track record of innovation as a natural fit for developing next-gen ASIC technology.

Hut 8’s Recent Performance and Challenges

While Hut 8 saw a minor increase in its hash rate during August, reaching an additional 0.1 EH/s, its total Bitcoin mined fell to 87 BTC compared to 105 BTC in July—a 17% decline. Moreover, the company reported a Q2 net loss of $71.9 million, primarily due to a digital assets fair value adjustment of $71.8 million.

Despite these setbacks, Hut 8 recorded a 72% revenue increase year-on-year, with Q2 revenue totalling $35.2 million.

Capable of achieving up to 860 TH at 13 J/TH, the U3S21EXPH bridges critical engineering gaps between Bitcoin mining and AI data center infrastructure. Our initial deployment of ~15 EH/s is expected to increase our hashrate under management by 81% with a potential path to 20 EH/s… pic.twitter.com/MI5btSMeBv

— Hut 8 (@Hut8Corp) September 19, 2024

As Hut 8 scales up its operations, the expansion with BITMAIN signifies an essential step toward boosting its mining capabilities and improving efficiency in an increasingly competitive market.

Key Takeaways:

• The new U3S21EXPH miner achieves 860 terahash at 13 joules per terahash.
• Hut 8’s hash rate under management to rise from 18.5 EH/s to nearly 33.5 EH/s.
• The partnership strengthens through scalable technology for future mining operations.