Last year saw a boom in SPAC cryptographic mergers, with some notable examples being companies like Core Scientific Inc. Bakkt and Cipher Mining. SAI.TECH (“SAI” or “the Company”) entered the wave of SPAC lists just before SPAC mergers became more difficult. After officially trading on the Nasdaq on May 2, SAI is the first stock-chip “chip warming” stock concept, with its CEO and founder Arthur Lee also becoming the youngest Chinese CEO ever listed.
Bitcoin has become one of the most attractive emerging assets on the market in recent years, but the need for an increasingly energy-intensive IT infrastructure has caused concerns about its sustainability. By promoting ESG standard technologies and solutions, SAI, as a global energy-saving bitcoin mining operator and clean technology company, is trying to demonstrate to the market that the viability and business model of the company can lead bitcoin mining to a better future. sustainable. . We sat down with Arthur to talk about the company’s innovative technology.
Q1: First of all, I would like to congratulate the UPS for being listed on the Nasdaq. Can you give our readers a brief introduction to UPS? What is the inspiration for your innovation?
My inspiration is based on what I see as the two big trends of the early 21st century: sustainable development and the decentralized digital network. In the last 20 years, sustainable development has become a common goal worldwide. Another trend is that decentralized digital cryptocurrency like Bitcoin has experienced a boom, marking the beginning of the future of Web 3.0. The high value of Bitcoin has shown its importance, but has been criticized in equal parts for its high energy consumption and lack of sustainability. As a result, how to better solve the problem of power consumption while ensuring the stable operation of the Bitcoin network has become an inevitable dilemma we face.
As a Bitcoin mining operator, UPS predicted this problem as early as 2019 and was actively seeking partnerships with large mining groups. With the support of one of our close partners ViaBTC, a world-leading cryptographic mining group, we present SAIHUB, a cost-effective solution created to reduce the high costs involved in the mining process. After three years of development, SAIHUB has gone from 1.0 to 3.0. The latest SAIHUB 3.0 is an integrated, decentralized solution designed to horizontally integrate the computer, electrical, and heating industries to build a more efficient and sustainable infrastructure for Bitcoin mining.
Q2: How can Bitcoin mining infrastructure be made more sustainable? How does the SAIHUB solution affect that?
According to estimates, about 99% of the electricity consumed by Bitcoin mining machines is converted into thermal energy. This part of the thermal energy has been neglected for a long time, so it is called “residual heat”. Instead of using a huge amount of electricity to cool data centers, our SAIHUB solution is capturing that residual heat and using it to pay for energy use elsewhere.
With the help of UPS’s patented waste heat utilization technology, 90% of the heat generated by the mining process can be recovered and reused in heating sources for various residential, commercial, industrial and agricultural application scenarios.
In recent years, the use of renewable energy for Bitcoin mining has declined significantly as several factors have led natural gas and coal to become more popular energy sources for the industry. This change has made the UPS mission even more vital.
Q3: Can you introduce more of the SAIHUB solution? What is the story behind this solution?
The evolution of SAIHUB has gone through three stages. In phase 1.0 (2019-2020), SAIHUB used 16 nm chips. The power was 50 kW, with hash rates around 350T. This solution was able to reuse waste heat for single-family heating services. The SAIHUB 2.0, 2020 – 2021, was a step forward, adopting 7-8 nm chips, with a single SAIHUB power of about 250 kw and hash rates amounting to 5P. This version was enough to recycle heat for a small community or an agricultural greenhouse, allowing us to offer large-scale heating services.
From 2022, UPS enters the SAIHUB 3.0 stage. SAIHUB 3.0 reduces the fundamental costs of the mining process, including heating, power, computing, and chips. We have successfully carried out three pilot projects of clean computer data centers, covering more than 30,000 square meters of greenhouses, large commercial buildings and shopping malls for heating.
At this stage, we are ready to open our patented liquid cooling and waste heat recovery technology to expand the SAIHUB business model, improve the efficiency of the entire industry together with our partners, including ViaBTC Pool, and promote the smooth transition of the industry. . computer industry.
Q4: You just mentioned the association with ViaBTC Pool. Could you introduce this partner in more detail?
ViaBTC is our strategic partner and also one of the main followers of SAIHUB. As a global cryptographic mining group established in 2016, ViaBTC is well recognized for BTC mining and has a wide influence in that field.
As global warming increases, the international call for carbon neutrality is also getting stronger. PoW-based crypto mining like Bitcoin consumes a huge amount of fossil energy. ViaBTC shares our belief that we must drive innovation in clean energy technologies to improve the use of clean energy in cryptographic mining and reduce its environmental impact.
At the same time, we also engage in in-depth exchanges and cooperation with ViaBTC regarding the SaaS solution. In the future, we also look forward to partnering with more BTC mining companies who share our beliefs. Together, we will expand the blockchain space and accelerate the progress of Bitcoin.
Q5: UPS has recently taken a major step in the technology market by trading on the Nasdaq; What gives UPS an edge in the competitive Bitcoin mining innovation market?
Bitcoin has always been associated with high energy costs and unsustainable infrastructure, and the huge amounts of heat produced have been a constant cause for concern. However, few people have thought about using this resource as an asset, and this approach is what makes UPS stand out. Not only that, but our company is also made up of an elite team with rich experience in the field.
Although the cost of electric heating is currently higher than that of fossil fuel heating, as carbon taxes and various policies increase the price of fossil fuels, this will eventually change. It is estimated that the cost of using natural gas for heat will be about 65% higher than that of electric heating in 2050, which means that heating will inevitably be mainly electric. In this case, SAIHUB has an inherent advantage over long-term fossil fuel-based heating solutions.
Let’s review the carbon neutrality roadmap committed by major countries in the world. Most developed countries, including the United States, Japan, and the United Kingdom, have set a deadline of 2050. However, recent Russian-Ukrainian tensions have paralyzed the European energy market. In addition to the increase in the price of natural gas of more than 200%, countries such as the United Kingdom must reconsider the use of coal to replace the generation of energy with natural gas. The contribution value of clean energy to achieving carbon neutrality may also require a significant reduction in consumption levels according to current forecasts, which means that in the next twenty-eight years energy efficiency plans such as those represented by SAIHUB will take on more responsibilities, which is a challenge, but also a rare historical opportunity.