NVIDIA GTC, IREN, HIVE, ABTC, CORZ & BTDR Updates!

0:00Hey guys, welcome back to the channel McNally Money, the official home of Power Analysis an exciting week in the AI sector. As Nvidia GTC is well underway, we're going to be covering this along with some of the key takeaways, highlights, and latest press releases in the AI sector. Before we get into it, take a second, smash the like button, guys, big help to myself in the channel. Anthony, absolutely loves it, if you're not already subscribed, McNally Money, feel free to join and let us know in the comment section below how you're feeling about the AI space currently and your top pick in the sector. With that being said, let's get into today's video. Okay, guys, away we go Wednesday afternoon. This is going to be an AI-focused episode, an exciting one at that. We've got a big update in terms of Nvidia GTC major AI conference going on this week. Many of the miners represented there will talk about that along with some big AI news

1:02out from high digital technologies as well. Now, before we get into the AI-fun Anthony Bitcoin itself, again, not doing a heck of a lot today, it's down in the $71,000 range. It fell off from yesterday in that $74,000 and pretty much given up its gains over the past five days now. Yeah, it's now back and back where it was five days ago, whether it's the added pressures now from the Middle East in terms of the longevity of that conflict. People are anticipated it being relatively short. I think the markets were building in a 30-day period to take place, but it potentially could be longer than that now. That's affecting oil prices, markets and Bitcoin is not immune to any of those. So as we've spoken last few podcasts, we're seeing a lot more correlation, Bitcoin with the NASDAQ and all three major indices in the US are down and I'll imagine the majority

2:09of indices around the world now because this isn't just an earthquake, it affects globally. Bitcoin, I'm going to pull back today. Also, there's been a lack of buying in terms of the stretch and we talked yesterday, Brian Schupe highlighted the fact that the share price had to be $100 before they were able to issue any more shares and it looks like they still haven't reached that. You see, it's hovering just under $100, but as soon as it hits that, they can initiate shares and buy more Bitcoin. But that hasn't occurred this week. Remember last week, over 22,000 Bitcoin purchase, which is seven times the normal production for that period, so incessant buying by strategy when the opportunity arises, and we'll talk a little bit more of that in a second. Yeah, I was going to say a nice segue there, Anthony, with the next clip is actually from Michael Sayler talking about this pursuit to 5%, 7.5%, maybe 10%, talking about if he has the luck to get there, Bitcoin could be in the neighborhood of $50 million a coin.

3:14So pretty optimistic outlook in terms of both the accumulation and the Bitcoin price, but to your point, 22,000 Bitcoin just last week, who's going to bet against him at this point? Now CNBC, another interesting clip you came on to, Anthony, talking about the convergence of traditional banking or tradify and defy or crypto, another great example of these two industries coming together. First of all, to the strategy though, Brian, if they get that 1 million Bitcoin, and it's likely that will occur this year, that's effectively 5% of everything that's been mined, if you take account of the fact that 3.5 million Bitcoin potentially lost, that's probably closer to 6%, and Sayler's got his eyes on 10%, which potentially could be 12% of the whole Bitcoin out there. He's right to highlight the fact, if he does get anywhere near that, then the price of

4:15Bitcoin is just going to extrapolate significantly higher. Now, obviously you're right to mention this announcement today, that MasterCard has just purchased a Bitcoin and crypto company for $1.8 billion, and now the card itself will integrate digital assets, and this is what we've been saying for quite a while now. You either join in and get on board, or you get off the bus, and one of the largest companies out there in the financial sector, 500 billion value MasterCard, they just got done exactly what we're hoping for, join in. Actually, they'll be able to come up with products now to deliver revenues for them from the crypto side of the markets. MasterCard and Visa have both been in front of the SEC for potentially having them monopoly

5:15over fees for those particular cards. I'm sure they're going to be looking at alternative revenue streams once they start utilizing the crypto world in terms of transactions, in terms of products that they could come up with. Remember, there's not that many products around the Bitcoin month, these companies will be probably ingenious in bringing up some really unique ways of getting customers to come and buy through their facilities. This is a tick in the box in terms of another positive story in the Bitcoin space. That is one of the interesting ones I saw stake and shake. They're actually paying each employee 21 cents an hour bonus in Bitcoin, so that's a great example to your point of that adoption, but we expect a lot more M&A in this space. I actually saw it post recently that stablecoin volume surpassed Visa and MasterCard in a one month period, so to that end, these companies definitely want to get involved in the

6:16action. Now, the SEC also came out with an update today, now classifying 16 additional crypto coins in the same fashion as we've seen with Bitcoin. Yeah, they've classified these assets now as digital commodities rather than securities in their new crypto asset taxonomy, and again, this is a really big new story. We've also pulled a slide just to show you there was an interview this morning with Andrew Ross Sorkin, one of the presenters from SquatBox on CNBC. He was there interviewing Chairman Atkins of the SEC to get his view on how we interpret these crypto assets, and it was very clear from that conversation the way the SEC is going and this has just been highlighted in various tweets on social media. So positive again, today we want that clarification and Chair Atkins and his team have been providing

7:18that. Speaking of Atkins and team, DC Blockchain Summit also going on right now in Washington. So that's a big step for the industry, obviously a lot of politicians there, along with some of the miners and CEOs that we're more familiar with on the channel. Now bit Fufu, they threw in some comments on this policy activity as well. We see Fred Thiel listed as one of the speakers here. Now we're going to come on to Nvidia GTC in a second on the AI side. But simultaneously we also have policy makers in Washington DC working hard on the crypto side. Now as we move over to the miners, you can see pretty red across the board today. We've got one standout, a core scientific. They're also at GTC, we'll talk about that in a second, but other than them, looking pretty red out there. It's looking red, but actually if you think that bitcoins down, you know, over three and a half percent and not too many of the miners are down, that amount.

8:21And bear in mind, Bitcoin is less volatile than the mining stock. So we might be seeing some volatile industry movement here, especially for those companies looking to utilize their power towards high performance computers in the future, a more stabilized industry in terms of predictability of revenues, predictability of costs, predictability of margins, and therefore more predictability when it comes to value in companies. A lot easier to do that than the challenges that face banks and the market. It rhymes to value Bitcoin mining companies. So as we see there, the core scientific, the only one to actually effectively just have its head above the walls there in green territory, only fractionally above there by about 0.85 percent. At the bottom it's in salooner, but we know that salooner's share price does have this sort of volaties. These swings up and down on a daily basis and we're hoping to get the CEO on again shortly

9:26for a podcast, give us some more updates from the company as to what's happening going forward there. So not too much share to look forward to it today's prices, but still halfway through the week. A bit more to go to the end of the week and hopefully some improvement. Yeah, hopefully we will and maybe a buying opportunity. You're right. We're looking forward to hosting John soon on the channel. We also lined up Ben Gagnon for Bitfarm's earnings. This is year end earnings. They're coming out on March 31st. We've actually got them on the podcast the very next day, April 1st, which happens to be the official launch of the new keel infrastructure rebrand as well. So that's going to be a big interview, big podcast to maybe put in your calendars there. Moving over to the heat map again, mixed bag looks similar to yesterday with the exception of iron. You can see that one year percentage continuing to climb. Yeah, as I indicated there, some of these percentages now in the one year change are going

10:28to get better as we go into ward April where stocks last year at this point in time were dropping and quicker than they're dropping at the moment. But if you look at the four other time intervals there, you've now got three of them in negative territory from an average position there. So today average down 3% and the one month and year to date change are also down 1% there. The five day change showing a little bit of green shoots there, stocks averaging 1% up. Just thanks to the likes of BitFooFoo, up 14% and BitDeer up 15% remember those two have significant assets on the management in terms of mining machines. So BitDeer having the best parts of 79 exerhash of which 68 of that is self mining and FooFoo having a large amount of the cloud hash rates which is driving good profits and margins for that company and we're going to hopefully get Charlie on the podcast when

11:32their rooms come out later this month and we'll get an update from him. But previously periods they've all been effectively green and we talked about this in the previous podcast. Yeah, we sure did and BitDeer to your point put out a nice visual talking about that growth in exerhash also about the power under management. So a real behemoth and we saw a big jump in BitDeer share price earlier in the week here. Now moving over to the minor specific news, I said this episode is going to be focused on AI kicking things off as high digital technologies. BuzzHPC is their AI subsidiary. We got a big announcement out today in terms of a partnership with Columbia University. But even more exciting Anthony is the potential door this opens for Hive in South America and that huge access to power that they have. Yeah, so the announcement today highlights that buzz AI cloud is now live in as soon as the on Paraguay with operational GPU compute nodes.

12:36The first GPU cluster in phased AIHC rollout on existing renewable energy footprint and it's currently been hosted in a tier 3 data center by Paraguay's largest telecom provider. Now remember, Hive already have 300 megawatts of power in their site in Paraguay which should be done to use now for Bitcoin mining. They have another potential 100 megawatts coming online over this year and that will give them 400 megawatts to determine how they use that. Now this is looking likely to be a proof of concept for them for low latency air compute between New York and Asuncion there and they are planning now for maybe utilizing some of the power at the Iguazu site there for a large tier 3 capacity data center targeted for 2027. Now, of that 400 megawatts there, it doesn't necessarily mean they're going to be looking

13:39at all 400 megawatts initially but it wouldn't surprise if they've got their eyes on maybe 40 or 50 megawatts of compute power there. Remember we talked yesterday about the cost of delivering a HP tier 3 data center. You're looking between 9 and 11 million dollars that's using average of 10 million dollars per megawatt. 40 megawatts site would be 450 megawatts site would be 500 million dollars. That's going to take some raising, unless you land a significant client that can open the door for you. But even if you do open the door to potential borrowings and leave us to utilize, you've got to have raised significant capital through your own means first. I mean you came up with the comment yesterday Bryce about having the 7030 split there. That's what the banks like to see that you're putting part of the effect of the deposit in there. So your money is equally at risk as is theirs.

14:41And it's similar to probably when people buy properties. Banks since 2008 have been far more requiring people to have some sort of a deposit. I'm going back to when I bought my first property, it could borrow 100% of the value there and they were giving 100%, in fact some banks were giving more than 100%. If you were saying you needed some money to actually refurbish it nowadays, there's a lot more challenging banks want to deposit there and it's usually quite a significant deposit. It could be 10, 15, 20%. And if you have the bigger deposit below the interest rate will be because you're providing some of that de-risking yourself by putting your own investment into it. So this will be interesting as we go forward. It gives them a real opportunity not just to utilize their HPC strategy in Sweden and in Canada but also in South America and really put them on the map. We'll see how this one plays out in 2026 and in 2027.

15:43One thing I thought was interesting about this, we just covered this week Buzz HPC, they have a partnership with Bell Canada which is one of the biggest ISP or telecom companies in Canada, they expanded into BC or essentially 4X the size of that partnership, interesting to see their hosting this in a tier 3 facility for Paraguay's largest telecom company. So potentially some synergies there or opportunity to expand that relationship as well. But congratulations to Hive and another big step in the right direction. Now pivoting back to the Bitcoin side for a second here, ABTC, another great update, really enjoying the social media, the team has put together but you can see they've now passed Mike Novigratz and Galaxy taking another step up that leader board. Yeah, it looks like they've purchased around about 400 Bitcoin and that takes their huddle amount to 6,899. That's a couple of big movements since we had Matt Prusac on less than a couple of weeks

16:45ago. And so we know what their objective is, it's clearly to accumulate more Bitcoin and accumulate it faster than everybody else in the space. And it's interesting, you look at the metrics that they like to use, they talk about the SATs per share, that SATs per share based on today's treasury position based on the number of shares in issue there. They're now showing 744 SATs per share, remember when we had Matt on, I think it was closer to 508 to nearly 600 so that's increased nicely there and will continue to increase as they add more Bitcoin. Mara's still looking in positive territory there but remember, you look at the differences in SATs per share, you've also got to think about, you know, every company will have a different share price and that is sort of like, you can't look at it from a common view then because Mara share price is around $10 and ABT share price is a lot lower than that.

17:51And so Mara's huddle obviously being, you know, the best part of 54,000, it doesn't give you a level playing field. So what we decided to do is to look at it from a level playing field and if you then look at the number of SATs per $1 invested in the company, it gives you a whole different view and also creates this level playing field. Remember the mining analysis, we look at the amount of Bitcoin mined not by each company but by per exa hatch because once you look at the Bitcoin per exa hatch, you've got a total level playing field for all the mining companies and you can see then who's operating that a little bit better than their peers. In terms of $1 invested in each of the companies that we talked about, we thought we'd highlight those that have a huddle so we haven't included likes of TerraWolf and Iron and Salooner and BitDir because they haven't got a Bitcoin huddle currently but we did include Bitcoin itself and we've included the largest holder of Bitcoin, we've included strategy.

18:55So if you look at investing $1 in each of these companies, it comes with some interesting reading and you can see Mara is still the highest at $1,576 for every dollar you invest in the company. The reason it's showing that there and it's showing higher than actual BTC is because when we highlighted the Bitcoin huddle per market capitalisation only yesterday, Mara was over 100%, so effectively you are getting more Bitcoin leverage on your $1 investment than you are in Bitcoin because Mara's huddle is worth more than the company at the moment and that gives you that sort of impression there. If you look at strategy who are the largest holder of Bitcoin by a public company in a Treasury with over 761,000 Bitcoin, you've only got 700 sets for every $1 you invest in the company

19:56so that's like less than half the amount for Mara. Interestingly enough, ABTC, we've talked about those, they're the one that used this metric. If you look at a $1 invested in ABTC, you're getting 729. So maybe Matt Prussack and the rest of the team there are certainly focused on growing that particular set there because it looks to be one that shows them in a prominent position. If you're able to get more sets per dollar invested than the likes of my strategy, you must be doing something right, Brice. I think you are doing something right and I like that, that's per $1 invested as it's kind of the lowest common denominator or Apple to Apple comparison. Now a nice little segue here from Bitcoin mining to AI, moving over to Iran, a post from friends, Bakker, talking about the decline in Bitcoin output. So this is basically one of the online wallet trackers. They've noted that Bitcoin per day has dropped from around 15 to 11 or around 25% this month

21:01and it reminded me of a comment you made a few weeks back based on their earnings Anthony. We noticed hash rates starting to come offline and if you think about their locations, the fact they just announced that massive GPU purchase, it makes sense they're going to have to start swapping ASICs for GPUs. Yeah, I mean, you've got to remember, go back 12 months ago and I was still in this position where they were growing hash rates, it gets that target or 50X hash by the end of Q2, which was the end of June 2025. And they reach that target with days in hand, so achieve that target, like they've done every target for the last couple of years. Obviously with their mindset on growing the HPC strategy at children through horizons 1, 2, 3 and 4, that's going to utilize up all the spare capacity of power that they have there and they just purchase 50,000 GPUs for additional installation at British Columbia

22:05and at Childress. The question now is what's going to happen to mining machines and it looks like with sweet water not going to be hosting mining machines in the near future, it may be that they're going to start drawing down the Bitcoin mining and effectively start using that power for high performance computes. Even though iron are probably the one miner who have the best efficiency and have some of the lowest power, not the lowest, but some of the lowest power in their site at Childress, the margins at the moment with Bitcoin are just proving probably a step too far for everybody and even iron are probably feeling the pinch and feel that they can deliver better results utilizing HPC strategy going forward, whether it be CSP or Infair Docks on some of a co-location deal. But they've got 99,900 GPUs already installed as at the end of December 31st and that's going to grow significantly as they start installing GPUs at Childress, remember the

23:0976,000 going into Childress and they just ordered another 50,000 that will be split across Childress and British Columbia. So I think we'll see this gradually start to come down as more and more HPC strategies being delivered. They've got 31 buildings at Childress accommodating about just over 40 exerhash, so the indication there will be as soon as they're sort of like near completion of Horizon 4, we've already seen the blueprints to show that Childress could have Horizon 1 to 10 and that really takes all the power available there. If they go from 4 to 10, you know that the machines will either actually be sold on or they'll have to come up with an alternative site and that could be a challenge, especially when they want to utilize all 4.5 gigawatts of power in the future towards HPC. I think they'll continue to mine until needed and then they'll switch off and probably start

24:10to sell those machines and utilize the power then for a better return on investment. I expect we'll see the same strategy with most of the miners going into this next having. Now speaking of AI HPC, Iron making a big splash at NVIDIA GTC, so this is the GPU technology conference, the largest one in the world put on by NVIDIA, headlined by the CEO, Jensen Wang himself, Iron's booth, just phenomenal here. We've seen a few of these at the Bitcoin conferences really stepping it up in a big way and obviously wanting to associate their brand heavily with the AI market. Yeah, absolutely. It looks impressive. It's a shame we weren't there for it. You can now watch this conference, it's going live at the moment now you can watch over the next four days. Apart from Jensen being the keynote speaker, we also have Kent Draper, the chief commercial officer of Iron. He's going to be on the panel later today.

25:13That's four o'clock Pacific time and so you have the opportunity to tune into that set virtually. I'm assuming that all the speaker parts will be probably recorded. So if it's you're in a location where that time is an ideal to listen live, you should be able to get listen to a recording. If not, I would check social media because I'm assuming there's enough Iron fans out there that will probably put some of that information on social media for people to access. So I'll certainly be trying to listen to Kent. He's always quite a bit to say in terms of the development and we might hear some new things since the earnings call on direction from Iron. So pay attention to that when it comes out. Yeah, I'm looking forward to that and to your point, I was able to access the keynote speech here by Jensen himself over two hour keynote. Obviously a lot of multimedia incorporated. They had

26:14Olaf on stage. So incorporating some AI robotics in the presentation itself. But this clip was interesting. I'll play it for you guys quickly here talking about the five layers of AI. A thousand technical sessions, 2000 speakers. This is this conference is going to cover every single layer of the five layer cake of artificial intelligence from land power and shell, the infrastructure to chips to the platforms, the models and of course the most important and ultimately what's going to take get this industry taken off is all of the applications. Now Anthony, he mentioned the land, the power, the data centers as the first layer of this cake really on which the other four layers are built. We know Iron, a great example core scientific also at GTC representing in the AI space. We know the miners have the power. It appears they're now got the talent and ability to build the data centers and the clients are just continuing to pile in.

27:20Absolutely. And we've already seen a number of really good contracts being signed in 2024, 2025. And we're hoping there'll be a lot more signing in 2026 as the majority of miners now, pretty much all the miners we discussed on a regular basis are focusing attention towards HPC over this next couple of years. And it'd be great to hear Ben Gagnon when he comes on the podcast on the 1st of April to give us an update of where they are now. Remember they've got that facility in Washington, which has got the go ahead and the funding. So that's one that's certainly going to be delivering service this year. But we want to hear some more updates about Panther Creek, Sharon and Skruggrass, three great sites in Pennsylvania surrounded by some of these hyperscalers we talked about on a regular basis. Yeah, you're definitely right there. Proximity is key and looking very forward to that interview. So let us know your thoughts in the comment section below you guys. A lot of discussion on AI

28:22and video's conference and what this means for this sector. We also wanted to do a quick reminder for the newsletter that's going to be going out on Friday this week. We're currently working on some website enhancements again, shifting the focus towards HPC and AI. So stay tuned. There you guys will be back here for a regular update tomorrow. Thanks so much for watching. We'll see you back here then.