DMG Blockchain Solutions (DMGI.V) has energized their new miners post-halving, and added a new director.
We entered into Bitcoin’s great third age earlier this week with the Bitcoin halving. While the specifics of mining remain the same, the numbers behind it are slightly different and there’s going to be an adjustment period wherein companies involved in the space decide whether or not they want to remain where they are, or seek profits elsewhere.
The hash-rate and price are going to fluctuate in the coming months, so it’s early yet to tell what direction most companies going to move in, but adding new equipment is to handle the increased workload provides an inclination towards longevity.
“We are very impressed with the new M30 Series of ASIC miners from MicroBT. Built using a 7nm chip technology enables them to provide the greatest hashrate with minimal power draw, which is the ultimate goal of any crypto ASIC manufacturer. We intend to continue adding the newest generation of miners to our fleet and are working with all manufacturing companies on the shortest possible lead times and pricing strategies,” said Sheldon Bennett, COO of DMG Blockchain.
DMG’s goal for 2020 includes boosting their self-mining Petahash (PH) rate to several hundred to be competitive in the mining market, and they have a long way to go, as the addition of these new miners only add 20, and aren’t even pushing them over the 100 PH rate. It’s difficult to determine what variety of numbers we should be looking for in petahash to determine competitiveness, but being under 100 PH is likely not going to cut it.
The problem is that DMG is coming late to the party. Other companies like Hive Blockchain Technologies (HIVE.V), Hut 8 Mining (HUT.T), Riot Blockchain (RIOT.Q) and Cryptostar (CSTR.V) were riding the buildout train months before the halving, getting onboard with lucrative colocation service providers or upgrading their equipment to make the changeover. That’s not even considering that 65% of Bitcoin’s miners that we don’t know about are in China. This may put the company in a position to be competitive in the next few months, but for right now, they’re going to spend a lot of dough on electricity to run their equipment, but get drowned out by the more prepared, better equipped companies.
It’s not that this company hasn’t been busy doing their research to make the upgrade, it’s that they didn’t make the upgrade fast enough. But hey. Maybe the newest addition to their board will bring much needed advice and information for this company.
“DMG recently promoted Adrian Glover as DMG’s CTO and we are excited to now add him to the Company’s Board of Directors. The Board looks forward to adding Mr. Glover’s guidance from beyond the management team to the Company’s overall strategy. Mr. Glover brings a software knowledge base that the Board was previously missing and, as software development becomes more and more relevant to the Company, Mr. Glover’s role on the Board will be essential for the Company’s continued growth and success in the development of our analytics, forensic and enterprise blockchain software products,” according to Dan Reitzik, chief executive officer of DMG.
A quick bounce over to his LinkedIn profile shows experience in software development, as well as project and development management. He’s also got lots of experience dealing with teams of developers, including process streamlining and mentorship and coaching for developers.
New people and new direction for a new age. Will it be enough? We’ll have to wait and see.