The past year has seen a boom in SPAC crypto mergers, with the likes of Core Scientific Inc. Bakkt and Cipher Mining being some notable examples. SAI.TECH (“SAI” or “the Company”) joined the wave of SPAC listings just before SPAC mergers became more difficult. After being officially listed on Nasdaq on May 2, SAI is the first “chip warming” concept stock to be listed on the exchange, and its CEO and founder Arthur Lee also became the youngest Chinese CEO on the list.
Bitcoin has become one of the hottest emerging assets on the market in recent years, but the need for an increasingly energy-intensive computing infrastructure has raised concerns about its sustainability. By promoting standard ESG technologies and solutions, SAI, as a global energy-saving bitcoin mining operator and cleantech company, attempts to demonstrate to the market that the company’s viability and business model could take bitcoin mining to a more sustainable future. . We sat down with Arthur to talk about the company’s innovative technology.
Q1: First of all, I would like to congratulate SAI for being listed on 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 main trends of the early 21st century: sustainable development and the decentralized digital network. Over the last 20 years, sustainable development has become a shared goal worldwide. Another trend is that decentralized digital cryptocurrencies like Bitcoin have seen a boom, ushering in the future of web 3.0. Bitcoin’s high value has proven its importance, but it has been equally criticized for its high energy consumption and lack of sustainability. As a result, how to best solve the problem of power consumption while ensuring the stable operation of the Bitcoin network has become an unavoidable dilemma that we face.
As a Bitcoin mining operator, SAI foresaw this problem as early as 2019 and has been actively seeking partnerships with large mining pools. With the support of one of our close partners, ViaBTC, a world leading crypto mining pool, 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 jumped from 1.0 to 3.0. The latest SAIHUB 3.0 is an integrated and decentralized solution designed to horizontally integrate the computing, power, and heating industries to build a more efficient and sustainable infrastructure for Bitcoin mining.
Q2: How can Bitcoin mining infrastructure become more sustainable? How does the SAIHUB solution influence this?
According to calculations, around 99% of the electricity consumed by Bitcoin miners is converted into thermal energy. This part of thermal energy has been neglected for a long time, so it is called “waste heat”. Instead of using a lot of extra electricity to cool data centers, our SAIHUB solution captures that waste heat and uses it to defray energy use elsewhere.
With the help of SAI’s patented waste heat harvesting 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 decreased significantly as various factors have led to natural gas and coal becoming more popular energy sources for the industry. This change has made SAI’s mission even more vital.
Q3: Can you introduce more SAIHUB solution? What is the story behind this solution?
SAIHUB’s evolution has gone through three stages. In the 1.0 stage (2019-2020), SAIHUB used 16nm chips. Power was 50kw, with hash rates around 350T. This solution was able to reuse the residual heat for the heating services of a single house. SAIHUB 2.0, 2020 – 2021, was a step forward, adopting 7-8nm chips, with power for a single SAIHUB around 250kw and hash rates jumping to 5P. This version was enough to recycle heat from a small community or agricultural greenhouse, allowing us to provide heating services on a large scale.
Starting in 2022, SAI enters the SAIHUB 3.0 stage. SAIHUB 3.0 reduces the basic costs of the mining process, including heating, power, computing and chip. We have successfully executed three clean IT data center pilot projects, covering more than 30,000 square meters of greenhouses, large commercial buildings and shopping malls for heating.
At this stage, we are willing to open up our proprietary liquid cooling and waste heat recovery technology to expand SAIHUB’s business model, improve the efficiency of the entire industry together with our partners, including ViaBTC Pool, and promote the clean transition of the computer industry
Q4: You just mentioned the partnership with ViaBTC Pool. Could you introduce this partner in more detail?
ViaBTC is our strategic partner and also one of the main sponsors of SAIHUB. As an all-encompassing crypto mining pool established in 2016, ViaBTC is well-recognized for BTC mining and has great influence in that field.
As global warming increases, the international call for carbon neutrality also grows louder. Mining PoW-based cryptos like Bitcoin consumes a large amount of fossil energy. ViaBTC shares our belief that we must drive clean energy technology innovation to improve the utilization of clean energy in crypto mining and reduce its environmental impact.
At the same time, we have also engaged in deep exchanges and cooperation with ViaBTC regarding the SaaS solution. In the future, we also hope to partner with more companies in the field of BTC mining that share our beliefs. Together, we will expand the blockchain space and accelerate the progress of Bitcoin.
Q5: SAI recently took a major step into the tech market by listing on Nasdaq; What gives SAI an edge in the competitive market for Bitcoin mining innovation?
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 of using this resource as an asset, and this idea is what makes SAI stand out. Not only that, but our company also consists of an elite team with rich experience in the field.
Although the cost of electric heating is currently higher than fossil fuel heating, as carbon taxes and various policies drive up the price of fossil fuels, this will eventually change. The cost of using natural gas for heat is estimated to be about 65% higher than that of electric heating by 2050, meaning heating will inevitably be primarily 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 the main countries of the world. Most developed countries, including the United States, Japan and the United Kingdom, have set a target date of 2050. However, recent tensions between Russia and Ukraine have paralyzed the European energy market. In addition to the more than 200% price increase for natural gas, countries like the UK need to reconsider using coal to replace natural gas-based power generation. The value of the contribution of clean energies to achieve carbon neutrality may also require a considerable 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 they will take on more responsibilities, which is a challenge, but also a rare historic opportunity.