Canadian miner Hut 8 has started renting out GPUs for computation purposes

The initiative is part of a strategy to diversify revenue after halving

27.09.2024 - 13:00

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What’s new? Canadian miner Hut 8, with a capitalization of $1,15 billion, has launched a GPU-as-a-Service (GPUaaS) product that rents out 1000 NVIDIA H100 GPUs for computing. The product is being launched by a subsidiary of Highrise AI in conjunction with Hewlett Packard Enterprise and AdvizeX.

The Block

What else is known? The service supports high-performance tasks such as AI-assisted data processing. With its launch, Hut 8 is looking to diversify revenue, as miners have been receiving half the payout per block mined since the April halving of the Bitcoin network.

The five-year partnership includes fixed infrastructure payments and a revenue-sharing agreement with an unnamed cloud AI solution developer.

The GPUaaS cluster is located at the Hut 8 data center in Chicago and is powered by several HPE Cray supercomputers.

Computing clusters, similar to mining clusters, consist of a group of interconnected computers called nodes. Such nodes work as a single system to perform complex tasks.

Hut 8 currently offers traditional cloud services in addition to mining and AI computing. As CEO Asher Genoot noted, the launch of the new business line will help grow revenue and create long-term value.

The company’s shares under the ticker HUT are trading at $12,63 on the Nasdaq, adding 0,8% overnight. Monthly growth amounted to 6,13%, but since the beginning of the year, the securities have fallen in price by 16,14%.

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