Hut8 relocates 6,400 rigs, sees growth in AI & high performance computing

Hut8’s Increased Demand for AI and High Performance Computing

Hut8, a North American mining firm, is experiencing an increased demand for AI and high performance computing as it seeks to reinvigorate the 6,400 rigs being relocated from its non-functioning North Bay location in Ontario.

As had been reported earlier, Hut8 is engaged in a legal dispute with its third-party energy provider Validus Power, claiming that Validus has not fulfilled its contractual responsibilities. Consequently, the facility has been closed since November 2022.

Hut8 declined to provide any remarks regarding the court case when contacted by Cointelegraph, but did affirm that approximately 6,400 miners are being relocated to Texas, as the business is attempting to reactivate its dormant machinery.

The company anticipates that this particular group of miners will be functioning by the end of July 2023, offering 600 PH/s of operational capability which will increase Hut8’s total installed hashrate to 3.2 EH/s.

A three-month hosting agreement for the 6,400 miners from North Bay has been agreed upon, and Hut8 intends to extend the arrangement on a month-to-month basis. In March 2023, Hut8 relocated 988 miners from North Bay to its Medicine Hat facility in Alberta, Canada.

Riot Blockchain Inc. and Inflection AI’s Investment in Bitcoin Mining

Riot Blockchain Inc. is planning to add 33,000 Bitcoin miners to its platforms prior to the 2024 halving.

Hut8 CEO Jaime Leverton discussed the current state of the cryptocurrency mining environment in light of the difficult market conditions that have been in effect for approximately 18 months.

Palo Alto-based Inflection AI recently secured $1.8 billion in funding, with Microsoft and Nvidia leading the charge. The investment will be used to build a 22,000-strong Nvidia H100 Tensor GPU cluster, further demonstrating the allure of artificial intelligence and high performance computing.

Hut8 has also started to utilize its infrastructure to provide services and solutions that are not related to Bitcoin mining.

Leverton spotlighted a five-year contract to supply computer infrastructure and hosting services to British Columbia’s Interior Health authority, in addition to a case study conducted with 3D generative AI business XYZ AI.

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