The company says the final ASIC chip and mining system will improve blockchain-mining performance by at least four times.
According to the press release, Squire Mining’s engineers are working with Ennoconn on the development of AraSystem Technology’s mining rigs.
AraSystem, a subsidiary of Squire Mining, will host the debut ASIC chip which is currently being developed by AraCore Technology, another subsidiary of Squire Mining.
Meanwhile, Ennoconn will look after the mining rig assembly after the design, development and testing is finished.
“As we launch our next generation mining rig with a suite of proprietary innovations, it’s imperative that our manufacturing partners have the talent, experience, and capacity to not only deliver unique hardware, but also deliver best in class quality,” Simon Moore, executive chairman and CEO of Squire, said in the release. “We believe Ennoconn will help ensure the production of an exceptional mining rig for the marketplace.”
Squire Mining and Ennoconn initially entered into the non-binding agreement in August for the ASIC chip’s development.
By early October, Squire Mining provided an update on the chip’s progress, noting that early testing of the microchip was successful. The company also highlighted that the finalized ASIC chip and mining system could potentially reduce operational costs for enterprise mining facilities by 40 percent, which translates to $60 million in savings per year for one “leading enterprise mining group.”
Once the final ASIC mining chip is completed, Squire Mining estimates the chip and mining system could lead to a four times improvement in blockchain mining performance. Squire Mining based those approximations off the widespread of generation mining machines enterprise facilities are currently operating around the world.
These milestones led to Squire Mining and Ennoconn signing a memorandum of understanding to begin Phase 1 and development of AraSystem’s mining system with its partners in Taipei, Taiwan and Seoul, South Korea. Once definitive documentation is completed, final details and data sheets are expected to be provided to Ennoconn by the end of October.
A model of the mining rig and all specifications of the ASIC chip will be presented at the CoinGeek Conference, which is set to take place in London between November 28 and 30. Squire Mining says it anticipates pre-sales of the rig to be available around that time.
Shares of Squire Mining dipped 9.23 percent over Thursday’s trading session to close at C$0.59. Year-to-date, however, its share price has steadily increased 225 percent, up from C$0.18 on January 31.
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Securities Disclosure: I, Jocelyn Aspa, hold no direct investment interest in any company mentioned in this article
Editorial Disclosure: Squire Mining is a client of the Investing News Network. This article is not paid for content.