Intel Launches Crypto Mining Initiative; Argo, Block to Get First Chips This Year
The chipmaking giant is ramping up its crypto mining offerings with a lineup of energy-efficient accelerators.
Feb 11, 2022 at 4:31 p.m. UTCUpdated Apr 9, 2024 at 11:49 p.m. UTC
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Semiconductor giant Intel (INTC) officially announced its crypto mining initiative on Friday, revealing that Argo Blockchain (ARGO) and Jack Dorsey-led Block (SQ) will receive the chipmaker's first mining chips later this year.
- In a Friday blog post, Senior Vice President and General Manager of Intel's Accelerated Computing Systems and Graphics Group Raja M. Koduri said Intel said will contribute to blockchain technology with a "roadmap of energy-efficient accelerators." Koduri said that the company is "mindful" that blockchains consume a lot of energy, which is why they are focusing on "energy-efficient computing technologies at scale."
- Intel first revealed that it was working on a mining application-specific integrated circuit (ASIC) dubbed "Bonanza Mine" in January, when a product release was included in the agenda for an upcoming semiconductor conference.
- An Argo spokesperson confirmed to CoinDesk that it had signed an agreement to buy Intel’s mining ASICs.
- The mining ASICs will offer "1000x better performance per watt than mainstream GPUs for SHA-256 based mining," Koduri wrote. Large professional miners mostly use ASICs for bitcoin mining, however, so the graphics processing unit (GPU) comparison may not be as meaningful for them.
- The chips are built on a "tiny piece of silicon" so that it won't impact Intel's supply of current products, Koduri noted.
- Intel also announced a Custom Compute Group within its Accelerated Computing Systems and Graphics unit, which will build custom silicon platforms for blockchain and other types of computing.
- Block, led by Twitter's founder, is building an open-source bitcoin mining system, aiming to make the network more decentralized.
- Cincinnati-based Griid is planning a $3.3 billion IPO on the New York Stock Exchange through a merger with a special purpose acquisition vehicle (SPAC).
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Eliza Gkritsi is a CoinDesk contributor focused on the intersection of crypto and AI.
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Aoyon Ashraf is managing editor with more than a decade of experience in covering equity markets