Press Release
VANCOUVER, British Columbia, Oct. 28, 2024 — DMG Blockchain Solutions Inc. (TSX-V: DMGI) (OTCQB US: DMGGF) (FRANKFURT: 6AX) (“DMG”), a leading vertically integrated blockchain and data center technology company, has announced its acquisition of Reactor.xyz (“Reactor”) from Navier, Inc. (“Navier”), a prominent provider of bespoke data center deployments specializing in digital asset mining and artificial intelligence (AI).
Reactor is a highly-optimized solution to automate and manage hashrate contracts. Specifically unique to the software, for which there are several patent applications, is its balancing algorithm that assures hashrate delivery. A hashrate contract allows Bitcoin miners — who typically sell hashrate directly to a pool — to sell their hashrate to buyers willing to pay upfront for a specified term. These buyers are often incentivized by a discount compared to what the sellers would typically earn in bitcoin payouts over the contract period. For sellers, this arrangement provides faster access to payment, serving as a valuable treasury management tool akin to factoring receivables.
Reactor’s key enabling technology assures that the hashrate transferred from seller to buyer meets the contract’s requirements for the entirety of its term. This technology allows for highly granular hashrate delivery, ranging from 100 TH/s (equivalent to a single older generation Bitcoin mining machine) to over 1 EH/s (equivalent to an industrial mining farm). Having been developed and operating over the past several years, Reactor is a proven solution.
Terra Pool is an ideal platform to significantly expand Reactor’s reach. With Terra Pool having the ability to offer a large hashrate supply powered by carbon neutral energy, buyers will have access to a much larger supply than previously available. Furthermore, DMG believes that carbon neutral bitcoin may command a premium, and the same advantage could apply to carbon neutral hashrate. Terra Pool clients would thus have the option to either mine carbon neutral bitcoin or sell carbon neutral hashrate contracts, offering multiple avenues to benefit from participating in a carbon neutral pool.
DMG’s CEO, Sheldon Bennett commented, “DMG has made tremendous progress towards creating a holistic, carbon neutral Bitcoin ecosystem. This month alone, we’ve increased our own hashrate to 1.6 EH/s—up about 50% from the prior month, significantly upgraded the software behind Terra Pool and are on track for Systemic Trust to become a fully qualified custodian by the end of the calendar year or early in the new year. Now with the purchase of Reactor, we’ve added yet another important component to our ecosystem with the unique capability provided by Reactor.”
Navier’s CEO, Josh Metnick added, “Reactor is by a wide margin, the most stable, reliable and robust hashrate delivery platform in the world — I would challenge any company in our industry to offer a product that matches Reactor’s performance. Our engineers spent years optimizing Reactor, having gained the experience across scores of customer deployments. DMG has been a trusted partner for the past several years, and its acquisition of Reactor’s technology and its associated IP provides for efficient, direct delivery of carbon neutral hashrate to buyers without a middleman. We are excited about the possibilities and what the future holds for this technology in the hands of an established self-miner such as DMG.”
About Navier
Since 2014, Navier has been ensuring success for our customers through tailor-made services, including engineering design, project management, and collaborative ventures. Navier’s expertise is in designing, implementing and operating data centers to ensure scalable, efficient, turnkey solutions for projects in the financial technology, artificial intelligence and alternative asset space.
About Terra Pool
Terra Pool is the world’s first carbon neutral Bitcoin mining pool, designed to reward miners with carbon neutral bitcoin. It plays a crucial role in advancing a carbon neutral Bitcoin ecosystem. When integrated with DMG’s subsidiary, Systemic Trust, a digital asset custodian, financial institutions and content creators will gain the ability to send Bitcoin in a carbon neutral and regulatory-compliant manner.
About Systemic Trust Company Ltd.
Systemic Trust Company is a special purpose trust company incorporated under the Loan and Trust Corporations Act (Alberta). When STC receives its registration and regulatory approval for operations, it will operate as a standalone, independently capitalized, prudently managed trust company and Qualified Custodian offering digital asset custody services for institutional clients.
About DMG Blockchain Solutions Inc.
DMG is a sustainable, vertically integrated blockchain and data center technology company that develops, manages, and operates comprehensive platform solutions to monetize the blockchain ecosystem. The company’s operations are driven by two strategic pillars: Core and Core+, both unified by DMG’s commitment to vertical integration and environmentally responsible practices. DMG’s subsidiary Systemic Trust Corporation is focused on custody of digital assets.
For more information on DMG Blockchain Solutions visit: www.dmgblockchain.com
Follow @dmgblockchain on Twitter and subscribe to DMG’s YouTube channel.
For further information, please contact:
On behalf of the Board of Directors,
Sheldon Bennett, CEO & Director
Tel: 516-222-2560
Email: investors@dmgblockchain.com
Web: www.dmgblockchain.com
For Investor Relations:
investors@dmgblockchain.com
For Media Inquiries:
Chantelle Borrelli
Head of Communications
chantelle@dmgblockchain.com
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