Since its launch in 2009, Bitcoin has sparked significant interest in blockchain technology and decentralized finance. At the same time, data center computing demand is surging. Companies poured hundreds of billions of dollars into data centers in 2024, and that pace is expected to accelerate in 2025. One company that operates at the intersection of both of these exciting technologies is HIVE Digital Technologies HIVE, a San Antonio, Texas-based data center leader.
HIVE says it has gotten off to a running start in 2025 and has recently published its production update for February. A key highlight was the company’s strong Bitcoin production, which aligns well with its bold expansion strategy, both internally and externally. Chief among these milestones was an update on HIVE’s key acquisition of Bitfarms’ hydro-powered Bitcoin mining assets in Paraguay, which the company hopes will set the stage for massive growth this year and beyond.
HIVE’s expansion drive coincides with increasing policy support for Bitcoin in the U.S., and HIVE’s stock offers a way for interested investors to gain exposure to the Bitcoin mining sector.
HIVE’s Strategic Paraguay Deal
In February alone, HIVE Digital Technologies reported that it mined nearly 90 Bitcoins, bolstering its portfolio to 2,620 BTC, which were valued at $220 million at last check, with BTC price being off its peak. The company has grown its Bitcoin holdings by nearly 25% year-over-year but also divested a portion of its holdings to support its strategic growth.
HIVE directed the proceeds toward several acquisitions of hydro-powered Bitcoin mining assets in Paraguay, where it has set its sights on transformative future growth. HIVE has acquired a total of 300 MW of Bitcoin mining capacity in Paraguay, including 200 MW from Bitfarms, which is all expected to be operational in 2025, according to the company.
“In February, our executive team conducted a site visit to Bitfarms’ Yguazú facility, gaining firsthand insights into its ongoing construction. We were extremely pleased with the progress we witnessed there and are excited to finalize the strategic acquisition of Bitfarms’ 200 MW Yguazú site in Q1 2025,” said Luke Rossy, COO of HIVE.
HIVE’s investments in Paraguay have been game-changers, with the company marking 2025 as a transformative year for its growth. The strategic acquisitions in Paraguay are expected to quadruple its hashrate, a key measure of computational power that drives blockchain equation-solving and Bitcoin creation.
When it comes to Bitcoin mining, efficiency is extremely important, as it determines outcomes like profits and the sustainability of the operation. According to HIVE Digital Technologies president and CEO Aydin Kilic, the company’s “300 MW expansion in Paraguay to 4x our hashrate from 6 EH/s to 25 EH/s by September 2025 remains on track.”
To support its growth plans, the company has also been expanding its internal team. HIVE Digital Technologies has appointed seasoned digital infrastructure executive Craig Tavares as President and Chief Operating Officer of its BUZZ HPC business segment, where it continues to drive innovation in high-performance computing and GPU cloud services. Tavares is tasked with growing the company’s revenue to the $100 million threshold.
HIVE Digital Technologies Stock “Intriguing,” Says RosenBlatt
Given the accelerated pace at which growth is unfolding at HIVE Digital Technologies, some members of the analyst community have been increasingly recognizing the stock’s potential. Most recently, analyst firm Rosenblatt has jumped on the HIVE bandwagon, initiating coverage of the stock with a “buy” rating and a $6 price target.
Rosenblatt analysts find HIVE Digital Technologies’ stock “intriguing,” saying it’s poised to “enter an unprecedented growth phase” amid its ambitious goal to quadruple its hashrate, driven by its trio of newly-announced hydro-powered data centers.
HIVE was an early mover in the Bitcoin mining space, a position that may provide a significant edge over competitors. The company highlights its proven ability to navigate shifting cryptocurrency market cycles, showcasing the financial discipline essential for success in this volatile sector. With Bitcoin mining expansion a key focus for 2025, driven primarily by strategic acquisitions in Paraguay, HIVE believes it is poised for remarkable growth, with its potential reaching new heights.
HIVE Digital Technologies is extending an invitation to investors to attend a celebratory investor dinner in mid-April marking the company’s U.S. headquarters’ relocation to San Antonio, Texas – which it sees as the Bitcoin capital. Not only will shareholders be able to enjoy local cuisine and cocktails but they will be given the opportunity to connect with HIVE Co-Founder and Executive Chairman Frank Holmes. Investors can learn more about the company here.
Featured photo by MidJourney on Pixabay.
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