- Iris Energy announces an ambitious expansion plan to increase its hash processing capacity.
- Iris Energy’s strategy is based on the use of 100% renewable and low-cost energy.
- It is also revitalizing its high-performance data center strategy to meet the growing demand for data center space for AI applications.
Institutional-grade Bitcoin (BTC) mining company Iris Energy has announced its expansion plan to increase its hash processing capacity.
With the goal of reaching 9.1 EH/s (exhashes per second) from its current level of 5.6 EH/s, Iris Energy seeks to strengthen its position in the cryptocurrency market.
Bitcoin mining with 100% renewable energy
The company stands out as a Bitcoin miner that uses 100% renewable energy. Harnesses low-cost and underutilized renewable energy sources for its mining operations.
It is currently building an additional 80 MW (megawatts) of data centers at its Childress, Texas site as part of the first phase of expansion.
This expansion, which includes the completion of four 20 MW data centers by early 2024, is expected to increase the company’s capacity by 63%. Additionally, phase two of the expansion will add another 100 MW of capacity, bringing hash power to 13.6 EH/s in the future.
High Performance Data Center Strategy
Iris Energy has announced a “reinvigoration” of its High Performance Computing (HPC) data center strategy. This strategy aligns with the growing demand for data center space for artificial intelligence (AI) applications, a booming sector.
Demand for data center space for AI is estimated to reach $76 billion by 2028. The company has invested time exploring this strategy, including signing a strategic memorandum of understanding with Dell Technologies in March 2020 to develop solutions energy efficient data center.
Challenges and Prospects in Bitcoin (BTC) Mining
Bitcoin mining has experienced challenges of late, especially for smaller operators.
The current average hash rate is 354 EH/s, having peaked at 433 EH/s on June 11, representing a 32% increase year-to-date.
This increasing competition between miners has led to an increase in difficulty, which currently sits at an all-time high of 52.35T.
As a result, the price of hash and the profitability of mining have decreased, with a current value of $0.07 per TH/s per day, according to Hashrate Index.
Despite these challenges, Iris Energy’s shares have seen a significant rise, up 250% since the beginning of the year, demonstrating its strength in the market.