AIM-listed bitcoin mining technology company Quantum Blockchain Technologies PLC (AIM:QBT) has achieved positive results in the latest testing phase of its proprietary bitcoin mining algorithm.
Tests carried out by the group’s R&D team demonstrated a theoretical 2.6-times increase in successful bitcoin mining compared to commonly used industry practices by uncovering unique properties in the SHA-256 space that other research teams have not detected.
SHA-256 is the hashing algorithm used for cryptographic security purposes.
Quantum said its research could potentially reduce electricity consumption by 4.3%. To illustrate the impact, a bitcoin mining farm with 100,000 miners could save up to US$4.5mln annually.
Assuming continued successful progress with testing, Quantum believes its proprietary software has the potential to significantly improve the financial performance of bitcoin mining once deployed at full scale.
"Following nearly two years of research by our Machine Learning R&D teams, we believe we have achieved conceptually what appears to be a real breakthrough in the bitcoin mining industry,” said chairman and chief executive Francesco Gardin.
“Under rigorous testing conditions, our algorithms are achieving a marked increase in the frequency of successfully mining bitcoin, while lowering electricity use.
“We will now speed up the next phase of testing allowing us to confirm our current results at a degree of difficulty as close as possible to conditions now prevailing in the bitcoin mining industry.
“In addition, we intend to begin development of the industrial commercialisation phase of our bitcoin mining Method B, including deployment on mining rigs of the type currently in widespread use by larger bitcoin mining corporations.”