Mr. Frank Holmes reports

Hive DIGITAL ANNOUNCES BITCOIN PRODUCTION AND HODL GROWTH IN MARCH 2024 TO 2,287 BITCOINS

Hive Digital Technologies Ltd. has released its unaudited production figures for March, 2024, with approximately $160-million of bitcoin on the balance sheet. The company has increased its bitcoin holdings by 10 per cent, and its hodl position at month-end was 2,287 bitcoin on the balance sheet. Hive maintained over 4.5 exahashes per second of bitcoin mining capacity, on average, for March, 2024 (all amounts are in U.S. dollars, unless otherwise indicated).

March, 2024, highlights:

• Production: Hive mined 224 bitcoin in March, 2024, utilizing its state-of-the-art ASIC and GPU mining operations. This achievement represents an impressive average of 49.7 bitcoin per exahash, with a consistent average hash rate of 4.5 EH/s throughout the month, and an 11 per cent increase in monthly average hash rate.
• Daily production: Hive averaged a production of 7.2 BTC per day, underscoring its operational efficiency and robust mining capabilities.
• Mining capacity increase: Hive concluded March with a 4.7 EH/s ASIC mining capacity, reflecting a notable 13-per-cent increase in month-end hash rate. The company's hodl position at the end of March, 2024, was 2,287 BTC, which was a 7-per-cent increase from the prior month.

Strategic hodl increase

As of April 4, 2024, Hive's hodl position increased further to 2,315 bitcoin, up from 2,131 BTC at the end of February, 2024.

This continued increase aligns with the company's strategy to strive to hodl, anticipating heightened demand for bitcoin due to the adoption of bitcoin as an alternative asset class, as witnessed with strong fund flows into the recent launch and approval of spot bitcoin exchange-traded funds. The company has strived to manage for highest cash flow return on invested capital on a per-share basis while remaining sensitive to shareholder dilution in its overall strategy. Hive believes that as the halving event in April nears, the short-term volatility in the company's stock price will remain high, and investors must be aware, like its peers, that is typically correlated with bitcoin, but with a greater amplitude in price volatility.

Executive insights

Frank Holmes, executive chairman, emphasized Hive's strategic foresight, stating: "Our hodl strategy is to have a healthy balance sheet similar to what we had for the last halving event in 2020. We ended the quarter with a strong working cash position of approximately $160-million in bitcoin and cash of $11-million with [general and administrative] costs to mine a bitcoin under $6,000.

Halving preparation

Aydin Kilic, president and chief executive officer, highlighted the company's technological stability with the integration of Bitmain S21 Antminers into its mining fleet, stating: "We have approximately 2,000 S21 Antminers arriving and expected to be installed before the halving event. Additionally, Hive has approximately 3,000 additional S21 Antminers being delivered by June, 2024. In total, Hive will receive 5,095 S21 Antminers within the next three months, bringing our total target hash rate to 5.5 EH/s and a global average fleet efficiency of 25 [joules per terahash]."

Operational excellence and future outlook

Hive remains at the forefront of the blockchain technology sector, continuously enhancing its mining efficiency and expanding its green-energy-powered data centre facilities across Canada, Sweden and Iceland. With a keen focus on financial stability, growth and innovation, Hive is well positioned to navigate the volatile crypto market dynamics while securing balanced growth and value for its stakeholders.

About Hive Digital Technologies Ltd.

Hive went public in 2017 as the first cryptocurrency mining company listed for trading on the TSX Venture Exchange with a sustainable green energy focus.

Hive is a growth-oriented technology stock in the emergent blockchain industry. As a company whose shares trade on a major stock exchange, it is building a bridge between the digital currency and blockchain sector and traditional capital markets. Hive owns state-of-the-art, green-energy-powered data centre facilities in Canada, Sweden and Iceland, where it endeavours to source green energy to mine digital assets such as bitcoin on the cloud. Since the beginning of 2021, Hive has held in secure storage the majority of its treasury of ETH and BTC derived from mining rewards. Its shares provide investors with exposure to the operating margins of digital currency mining, as well as a portfolio of bitcoin. Because Hive also owns hard assets such as data centres and advanced multiuse servers, it believes its shares offer investors an attractive way to gain exposure to the cryptocurrency space.

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