The Quantum Blockchain Technologies PLC (LON: QBT) share price has risen 110.18% since the year started amid a rally in Bitcoin prices, given that the company manufactures Bitcoin mining chips.
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QBT shares today rallied over 15% after the company announced that it had decided to make its chips available to miners operating the Bitcoin Cash (BCH) and Bitcoin SV (BSV) networks, which were created as part of two hard forks from the original Bitcoin network.
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The blockchain company noted that the shift to developing chips for the BCH and BSV mining networks was informed by the fact that it would not cost the company much to adapt its chips to mining BCH and BSV.
Quantum Blockchain reassured investors there would be no additional monetary, opportunity cost, or time diversion from its current R&D work. The company noted that the only difference between the three networks was the number of transactions processed per second (tps).
Bitcoin (BTC) processes about 4 transactions per second, BCH processes about 100 transactions per second, while BSV processes about 50,000 transactions per second.
Therefore, the company believes its improved mining chips would attract BCH and BSV miners. The outstanding amount of BCH, BTC, and BSV remaining to be mined is almost the same at 1.7 million coins for each cryptocurrency.
Quantum blockchain added that despite the significant price difference between Bitcoin at $21,170, BCH at $122.91, and BSV at $44.71. The value of the remaining BCH and BSV coins is worth about $2.9 billion, which makes economic sense for the firm to develop chips for them.
Furthermore, the mining difficulty for BSV and BCH is much lower than that of Bitcoin, making them less capital-intensive and just are rewarding as Bitcoin mining.
Francesco Gardin, Quantum Blockchain’s CEO, commented: “Our main target is and will remain to develop BTC miners. However, the same R&D results can be applied to BCH and BSV by re-training our Machine Learning methods A and B (see announcement dated 15 November 2022), which we believe is a straightforward process.”
*This is not investment advice.
Quantum Blockchain (QBT) share price.
The Quantum Blockchain (QBT) share price has risen 110.18% YTD on Bitcoin prices. Will the rally continue?
YOUR CAPITAL IS AT RISK. 76% OF RETAIL CFD ACCOUNTS LOSE MONEY.