VANCOUVER, British Columbia, June 22, 2022 (GLOBE NEWSWIRE) — DMG Blockchain Solutions Inc. (TSX-V: DMGI) (OTCQB: DMGGF) (FSE: 6AX) (“DMG” or the “Company”), a publicly traded, vertically integrated blockchain and cryptocurrency technology company, announces today the launch of Terra Pool, a clean, renewable energy Bitcoin mining pool partnership between DMG and Argo Blockchain plc (LSE: ARB; NASDAQ: ARBK) (“Argo”). Testing has concluded and Terra Pool (www.terrapool.io) is now open to the general Bitcoin mining public. Terra Pool, developed using DMG’s Blockseer technology, is a unique Bitcoin mining pool focused on clean energy as the basis for participation. The pool allows its members to showcase their commitment to clean energy operations and creates new bitcoin from renewable energy sources.
In June of 2021, DMG and Argo Blockchain announced Terra Pool’s joining the Crypto Climate Accord (CCA) to accelerate the implementation of solutions that decarbonize crypto mining and the blockchain sector as a whole. DMG, along with Argo, are the first two signatories of the CCA. Pools are an essential tool for the process of mining, as they bring together the computational resources of multiple mining companies to reduce revenue volatility while providing a proportional payout structure that ensures secure transfer of mining transactions to the rightful owners’ digital wallets.
DMG believes Terra Pool has many advantages over existing pools, including:
- Goal of 100% clean renewable energy power sources from each miner
- Monetization of Terra Pool-created bitcoin, which may derive a price premium over other bitcoin
- Annual audits by an independent third party audit firm, providing greater transparency of pool operations
- Association with other clean energy miners rather than those supporting carbon-intensive energy sources
Terra Pool is Powered by Renewable Energy Sources
The Company believes Terra Pool will become an essential part of any bitcoin miner’s governance to demonstrate carbon neutrality and ESG-centric operations core to their stakeholder values. Over the past few years, there has been an increased focus on the energy consumption of bitcoin mining. Governments such as New York State are creating rules that single out bitcoin miners due to their energy use; however, there are ways that bitcoin miners can show that they are carbon-neutral or on a path to carbon-neutral energy without the need for extensive government oversight.
“Today, Terra Pool has been extensively tested to work at scale and has become the backbone of DMG’s mining operations. The opportunity to further scale Terra Pool provides the market with a readily available supply of ‘green’, clean-mined bitcoin that can be made available to the market. In particular, financial institutions have expressed interest in this scarce asset. With less than 2 million (of 21 million total) bitcoin left to be mined, we believe Terra Pool-mined bitcoin will be in high demand,” said DMG CEO, Sheldon Bennett.
Terra Pool Increases Transparency via Third-Party Audits
As Terra Pool is the first public pool to be run by a publicly traded company, it is required to be audited by a third-party independent auditor firm. This is a first in the industry, as no other public pools are managed by a public company. To date, public pools have worked without this level of auditing for calculating hashrate contribution and accordingly the proportion of bitcoin to be paid out to pool members.
Terra Pool Provides for Association with Other Clean Energy Leaders
Terra Pool not only focuses on ESG-driven Bitcoin mining but also works with miners who want to reduce their carbon footprint through Terra Pool’s network of providers who can develop carbon reducing strategies. This will allow miners to associate themselves with like-minded Bitcoin miners who are able to showcase their commitment to decarbonizing Bitcoin mining.
“Terra Pool represents a larger industry shift to renewable energy-based Bitcoin mining, as results from the Bitcoin Mining Council’s (of which DMG is an Advisory Member) Q1 2022 survey estimated that 58.4% of the power used for the bitcoin network included a mix of renewable energy sources, up 59% year-over-year. As Terra Pool provides a framework for improving mining monetization, we are encouraged that opening up Terra Pool can help accelerate this shift,” added DMG’s COO, Steven Eliscu.
Terra Pool recently added two charter members ahead of its broad launch. To maintain its status as a preeminent pool, members will need to meet the pool’s clean energy requirements, verification of power sources and KYC verification of both the applicant’s principals and its mining fleet. For more information about joining Terra Pool, please email [email protected].
About Terra Pool
Terra Pool is the world’s first Bitcoin mining pool focused on clean energy. The purpose of this initiative is to accelerate the shift from conventional power to clean energy and reduce the impact of Bitcoin mining on the environment.
DMG’s goal is to eliminate significant greenhouse gas emissions over the next decade. DMG intends to work with like-minded Bitcoin miners to expedite the shift to clean energy.
Transparency on Energy Consumption
Terra Pool will offer better transparency and is focused on bringing change to the crypto mining sector, creating a stronger incentive for crypto miners to produce bitcoin in a climate-conscious way.
About the CCA
In an effort to decarbonize the global crypto industry by prioritizing climate stewardship and creating the opportunity for the entire crypto industry’s transition to net-zero greenhouse gas emissions by 2040, the CCA has outlined the following objectives:
Achieve net-zero emissions from electricity consumption for CCA signatories by 2030;
Develop standards, tools and technologies with CCA supporters to accelerate the adoption of and verify the progress toward 100-percent renewable energy-powered blockchains by the 2025 UNFCCC (United Nations Framework Convention on Climate Change) COP30 conference.
About Argo Blockchain Plc
Argo Blockchain plc is a global leader in cryptocurrency mining with one of the largest and most efficient operations powered by clean energy. The Company is headquartered in London, UK and its shares are listed on the Main Market of the London Stock Exchange under the ticker: ARB and on the OTCQX Best Market in the United States under the ticker: ARBKF.
For more information on Argo Blockchain visit:
About DMG Blockchain Solutions Inc.
DMG is an environmentally friendly vertically integrated blockchain and cryptocurrency company that manages, operates, and develops end-to-end digital solutions to monetize the blockchain ecosystem. DMG’s sustainable businesses are segmented into two business lines under the Core and Core+ strategies and unified through DMG’s vertical integration.
Future changes in the Bitcoin network-wide mining difficulty rate or Bitcoin hashrate may materially affect the future performance of DMG’s production of Bitcoin, and future operating results could also be materially affected by the price of Bitcoin and an increase in hashrate mining difficulty.
For more information on DMG Blockchain Solutions visit: www.dmgblockchain.com
On behalf of the Board of Directors,
Sheldon Bennett, CEO and Director
For further information, please contact:
DMG Blockchain Solutions Inc.
Investor Relations Contact:
CORE IR (516) 222-2560
For Media Inquiries:
Jules Abraham, Head of Communications
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Cautionary Note Regarding Forward-Looking Information
This news release contains forward-looking information or statements based on current expectations. Forward-looking statements contained in this news release include statements regarding the potential of the patents, Core+ strategies and plans, developing and executing on the Company’s products and services, working with other platforms to diversify revenues, the launch of products and services, events, courses of action, and the potential of the Company’s technology and operations, among others, are all forward-looking information.
Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording such as “may”, “expect”, “estimate”, “anticipate”, “intend”, “believe” and “continue” or the negative thereof or similar variations. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, including but not limited to, market and other conditions, volatility in the trading price of the common shares of the Company, business, economic and capital market conditions; the ability to manage operating expenses, which may adversely affect the Company’s financial condition; the ability to remain competitive as other better financed competitors develop and release competitive products; regulatory uncertainties; access to equipment; market conditions and the demand and pricing for products; the demand and pricing of bitcoins; security threats, including a loss/theft of DMG’s bitcoins; DMG’s relationships with its customers, distributors and business partners; the inability to add more power to DMG’s facilities; DMG’s ability to successfully define, design and release new products in a timely manner that meet customers’ needs; the ability to attract, retain and motivate qualified personnel; competition in the industry; the impact of technology changes on the products and industry; failure to develop new and innovative products; the ability to successfully maintain and enforce our intellectual property rights and defend third-party claims of infringement of their intellectual property rights; the impact of intellectual property litigation that could materially and adversely affect the business; the ability to manage working capital; and the dependence on key personnel. DMG may not actually achieve its plans, projections, or expectations. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the demand for its products, the ability to successfully develop software, that there will be no regulation or law that will prevent the Company from operating its business, anticipated costs, the ability to secure sufficient capital to complete its business plans, the ability to achieve goals and the price of bitcoin. Given these risks, uncertainties, and assumptions, you should not place undue reliance on these forward-looking statements. The securities of DMG are considered highly speculative due to the nature of DMG’s business. For further information concerning these and other risks and uncertainties, refer to the Company’s filings on www.SEDAR.com. In addition, DMG’s past financial performance may not be a reliable indicator of future performance.
Factors that could cause actual results to differ materially from those in forward-looking statements include, failure to obtain regulatory approval, the continued availability of capital and financing, equipment failures, lack of supply of equipment, power and infrastructure, failure to obtain any permits required to operate the business, the impact of technology changes on the industry, the impact of COVID-19 or other viruses and diseases on the Company’s ability to operate, secure equipment, and hire personnel, competition, security threats including stolen bitcoins from DMG or its customers, consumer sentiment towards DMG’s products, services and blockchain technology generally, failure to develop new and innovative products, litigation, increase in operating costs, increase in equipment and labor costs, decrease in the price of Bitcoin, failure of counterparties to perform their contractual obligations, government regulations, loss of key employees and consultants, and general economic, market or business conditions. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The reader is cautioned not to place undue reliance on any forward-looking information. The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Additionally, the Company undertakes no obligation to comment on the expectations of or statements made by third parties in respect of the matters discussed above.