Jack Dorsey’s payment company Block recently purchased a large quantity of bitcoin mining chips from Intel, providing a boost to Block’s plans for entering the mining hardware market just as Intel discontinues its production of ASICs for bitcoin mining in April 2024.
Block Purchase from Intel Signals Next Steps for Bitcoin Mining
Square’s aspiration for greater decentralization of the Bitcoin network recently received a boost as they announced its recent purchase of a large quantity of bitcoin mining chips from Intel. The block purchase allows the payment company to focus on developing cutting-edge 3 nanometer chips just as Intel discontinues its application-specific integrated circuits (ASICs) production for cryptocurrency mining in April 2024. The move speeds up Square’s journey towards entering the mining hardware market as they aim to improve the decentralization of bitcoin mining among developers.
Importance of Quantity and Developing Hardware Initiatives
Thomas Templeton, the company’s hardware lead, remarked that the team seeks to remedy the industry problems of manufacturing and supply chain centralization. The current market is dominated by two players, Bitmain and MicroBT. The purchase of a substantial number of chips means the team can shift its attention towards the 3 nanometer design after fine-tuning its 5 nanometer chip for bitcoin mining. The chips bought are enough to tide the team over until they can build and design superior hardware. Templeton noted that the application-specific integrated circuit is integral to mining and thus essential in efforts towards greater decentralization.
To this end, Block aims to offer the next generation of developers innovative design ideas and hardware resources. The payment company is developing a mining development kit, set to debut early next year, that will let other teams build products using their chips. According to Templeton, mining manufacturing presents many issues along the supply chain, thus mandating the evolution of the ASIC’s design for greater decentralization.
CoinDesk, the standard-bearer of cryptocurrency news media, recently disclosed the addition of digital advisory Nardella & Taylor as senior advisors. Cointelegraph also recently hired a Goldman Sachs veteran, Rodrigo Barrera, to drive substantial strategic investments in blockchain disruptions, among many staffing moves in the space lately.
[h/t Eliza Gkritsi]