For the first time in its history, the world’s most popular cryptocurrency, Bitcoin (BTC), surpassed the US$55,000 mark. Cryptocurrencies are gaining support from all types of large firms, from automakers, to credit card companies, to big banks. However, with the increased demand, a new issue has arisen, in the form of a global chip shortage that hampers smaller-scale digital miners whose efforts compute these digital currencies into existence. Prices for graphic cards are soaring, which is giving an advantage to companies that have secured their crypto mining infrastructure ahead of time, such as rising social media platform Hello Pal International Inc. (OTCQB:HLLPF), miners CleanSpark, Inc. (NASDAQ:CLSK) and Hut 8 Mining Corp. (OTCQX:HUTMF), hardware makers NVIDIA Corporation (NASDAQ:NVDA) and Advanced Micro Devices, Inc. (NASDAQ:AMD).
With a quickly growing user base of over 5.4 million users from over 200 countries, app developer Hello Pal International Inc. leveraging its international live-streaming, social messaging, and language learning mobile platforms to mine the popular cryptocurrencies Bitcoin and Ethereum.
After securing a strategic partnership with established cryptomining company Yitang, users of Hello Pal’s platforms can now take part in the mining action through buying mining machines—either as individuals or as a group, with options to purchase fractional machines also available.
The new initiative leverages Hello Pal’s platform advantages, which are bolstered by its primary strength of allowing users to make new friends in countries all over the world. With over 200 countries feeding into its user community, Hello Pal holds an advantage that many of the biggest social media platforms in the world don’t—namely the permission to operate both inside and outside of China.
“It’s been our intention for cryptocurrency to play a central part on our platform, especially given the borderless nature of cryptocurrency and our international nature,” said KL Wong, Founder and Chairman of Hello Pal. “The recent activity and interest in cryptocurrency presents us with a unique opportunity to introduce cryptocurrency to our users, as well as to bring cryptocurrency users to our platform.”
Purchases of each machine will be able to personally identify their devices, which differs greatly from current available ‘cloud mining’ services that are already available on the market.
As their mined cryptocurrency is created, users who take part in the mining option will see their cryptocurrency credited to their digital wallet each day. Showing its solidarity and confidence with the program, Hello Pal itself is purchasing several Bitcoin and Ethereum mining machines to be held by the company, with plans to purchase even more.
Yitang will also be helping Hello Pal reintroduce and revamp its digital wallet and proprietary digital currency, “Palto”, designed to be used across Hello Pal’s entire suite of apps in order for the borderless transfer of value between Hello Pal users across the world.
In an effort to further ramp up its Bitcoin mining capacity, CleanSpark, Inc. recently issued an expansion update, announcing it expects to have in excess of 315 Ph/s of Bitcoin mining capacity deployed before the end of February.
Since the December 10, 2020 acquisition of the equipment upgrades that are continuing to be delivered, this expansion will represent a more than 65% increase in CleanSpark’s mining capacity. The crypto miners expect demand to further increase, with the substantial investments being made by major companies like MicroStrategy, PayPal, Square, and, most recently, Tesla.
Not falling behind, Hut 8 Mining Corp. announced shortly after that it too would match the momentum of Bitcoin adoption with the successful installation of its first batch of mining equipment on-schedule.
Hut 8’s equipment financing loan was leveraged to add 475 petahash per second (PH/s) to Hut 8’s Bitcoin mining capacity over the course of Q1 and Q2. As of February 11, 400 miners had been successfully installed, adding an additional 35 PH to Hut 8’s mining capacity.
Photos of a massive cryptomining farm with hundreds of Nvidia 30XX Laptops went viral from an undisclosed location in China. How the owners of the farm acquired so many of these laptops is suspect, as there are protections in place to prevent this sort of bulk purchasing.
A significant amount of the graphic chips demand from Advanced Micro Devices, Inc. is a result of cryptocurrency mining.
Now Advanced Micro Devices, along with three other major US firms, co-signed a letter to the US President, urging the provision of “substantial funding for incentives for semiconductor manufacturing” as part of future economic recovery and infrastructure plans.
“This is largely because the governments of our global competitors offer significant incentives and subsidies to attract new semiconductor manufacturing facilities, while the U.S. does not,” the group said.
As Bitcoin continues to be in the spotlight, companies like Hello Pal are in a good position to make the most of this rising interest and use it to help their growing user base.