DMG Provides Overview and Business Outlook for 2021

VANCOUVER, British Columbia, Jan. 21, 2021 (Globe NEWSWIRE) — DMG Blockchain Methods Inc. (TSX-V: DMGI) (DMGGF:OTC US) (FRANKFURT:6AX) (“DMG” or the “Company”), a vertically integrated blockchain and cryptocurrency technologies business, is happy to present its shareholders with its small business outlook for 2021.

Not due to the fact late 2018 has the general crypto field captivated so a great deal interest even so, this new bull run is decidedly distinctive from the earlier as establishments this kind of as Paypal, BlackRock, and AllianceBernstein are all using positions, predominantly in Bitcoin. With institutional investors driving crypto forward as a substitute of retail, as it was in 2017 and 2018, it is anticipated that governments and regulators are not far at the rear of. In buy for the economic scale which institutional traders convey, fiscal compliance must go hand-in-hand. DMG’s past acquisition of Blockseer is concentrated on compliance and good governance, putting it at the forefront of DMG’s 2021-2022 expansion technique, alongside with its core crypto mining operations and 3rd-occasion internet hosting products and services.

Many DMG shareholders may not comprehend that DMG is not just a crypto mining company. Fairly, it is a complete-provider, vertically integrated blockchain corporation. DMG possesses main assets that start with its 85MW ability substation and 27,000 sq. ft. info centre in British Columbia, Canada. DMG’s Mine Manager software package optimizes mining functions, and DMG’s Blockseer Pool was designed to meet the U.S. Government’s Workplace of Overseas Assets Manage (OFAC) compliance for Bitcoin addresses, as well as giving the utmost amount of transparency, auditability, and company governance. DMG designs to monetize this cryptocurrency pool in partnership with Marathon Patent Team Inc. and other prospective huge scale mining providers. DMG’s vertical integration will keep on with the release of more software package products and solutions designed on the Blockseer brand, which are concentrated on bringing its shoppers deeper into DMG’s benefit-included products and services further than the Company’s main crypto mining functions.  

DMG’s Advancement Plans for 2021

In buy to position the Business for anticipated long run alterations within the cryptocurrency field in normal and the Bitcoin mining marketplace in certain, DMG’s administration is actively associated in even more developing its corporate expansion method and modifying it to the at any time-transforming sector natural environment, aiming at turning into a single of the foremost innovation forces in this market. Thus, the pursuing modern corporate developments and endeavours are the basis of this long-expression and profit-oriented tactic for expansion:

Concentrating on DMG’s Main Small business – Christina Lake Information Centre
DMG’s 2021 aim for its Christina Lake crypto mining operations is to finish its previously introduced retrofitting from air to immersion cooling, raising both equally its hosting and self-mining operations, as well as to deliver DMG versatility in controlling cash expenses.

Christina Lake Info Middle – Immersion Retrofitting
Prototyping and testing of immersion has demonstrated miner hashing prices maximize up to 30%, permitting for sizeable reductions in the range of miners working for the similar hashing overall performance. With the mounting rate and offer shortages of crypto miners, possessing the money to deploy is just as vital as deploying in immersion cooling to ensure mining general performance is optimized for just about every greenback put in. Immersion cooling is not only minimizing the quantity of miners required to access hashrate plans, but also extending the existence of these property and conserving the electric power used to run air cooling enthusiasts. DMG will present even more updates on this immersion cooling know-how in the upcoming just after even more tests is finished.

DMG will keep on its tests in Q1 2021 as it commences important retrofitting of the details center from air cooling to immersion cooling. By focusing on engineering, DMG will not want to change the current small voltage infrastructure utilised in air cooing. Alternatively, it will use the same footprint and integrate immersion cooling tanks and piping, which are predicted to preserve drastically on retrofitting fees and shorten time lines substantially.

“Our long run crypto mining effectiveness will be terribly superior, as we mix immersion cooling with Blockseer’s Mine Supervisor automation and DMG’s seasoned technical workforce running the Christina Lake Knowledge Center. I believe that DMG will be tough the crypto business in the hashrate we will be producing relative to our power consumption and operational expenses,” reported DMG’s CTO, Adrian Glover. “For case in point, if any specified selection of miners would deliver 1,000 petahash without the need of immersion cooling, DMG is heading to be equipped to know at minimum 1,300 petahash from the specific similar set of miners by utilizing our immersion cooling technological innovation.”

With the move to immersion cooling, DMG aims to optimize its revenue on upcoming self-mining as perfectly as be ready to charge a top quality for hosted shoppers who would choose the advantages of immersion cooling without the need of the added capital value of constructing by themselves.

Christina Lake Facts Heart – Self Mining
DMG’s self-mining functions have benefited from continued growth in Bitcoin benefit, permitting for improved profitability from older mining equipment. This has allowed sustained rewarding mining operations as DMG transitions into immersion with subsequent technology mining technologies. As the provide of the newest era Bitcoin mining products will be essential for DMG’s foreseeable future progress, DMG is continuing to perform carefully with foremost miner suppliers and component makers of chips, boards and tanks. DMG intends to announce further more contractual equipment and development aspects soon.

The Christina Lake Details Center, an 85-megawatt substation with a 27,000 sq. foot information center, resides in the Company’s wholly-owned debt-free building on a 33 acre property. DMG’s expenditure in this infrastructure enables the organization to pivot among self-mining and hosting for third parties. This overall flexibility lets DMG to management cash fees when required, and also take benefit of the most rewarding earnings streams as they transform in excess of time among internet hosting and self-mining.

The Corporation expects the COVID-19 pandemic to influence the availability and timing of mining products, which include improved expenditures from shipping. If additional mining devices is procured for the Company’s Christina Lake Facility, the Firm expects for a longer time than typical delivery periods from the various gear brands and suppliers. In addition, relying on the number of extra Bitcoin mining rigs bought by the Business, supplemental cash may be necessary.

Reaching DMG’s Purpose to be a Vertically Built-in Blockchain Organization – Blockseer
In early 2018, DMG acquired Datient, Inc., the Silicon Valley-based mostly creator of Blockseer and Walletscore. The acquisition was a strategic shift based on the long run of compliance and fantastic governance in the cryptocurrency place. Blockseer highlights DMG’s foresight in making certain the Company develops the correct technological innovation at the right time, not only to take part but to have the products and technological know-how all set to unlock adoption through regulatory compliance.

Blockseer – Software package Focused on Protection & Stability & Regulatory & Compliance
In excess of the previous two a long time, the Blockseer team has focused on strategically focusing on the development of the crypto field and how Blockseer can be certain its blockchain facts will make field desired goods. Latest alterations, alongside with institutional interest shifting into Bitcoin, as discussed above, and the regulatory bulletins from the Office environment of the Comptroller of Currency (OCC) demonstrate that this is each a promptly acquiring and slicing-edge area. This concept has been echoed by nominated Secretary of the Treasury J. Yellen, wanting to avoid illicit transactions in the Bitcoin network. Fortunately, Blockseer is properly positioned to help pioneer this business with our 1st two merchandise (Explorer and Walletscore) which let end users to be correctly informed, informed and guarded in an otherwise often gray area. Increasing on Explorer and Walletscore, Blockseer released its Pool system which will be integrated with Blockseer’s Mine Manager, as 1 unified system.

A evaluate of Blockseer’s goods are as follows:

Blockseer: Security & Safety System

Blockseer Explorer (occasionally referred to as Intelligence) is an analytics resource that enables monitoring cryptocurrency on both equally the Bitcoin and Ethereum blockchains.

Blockseer: Regulatory & Compliance Platforms

Blockseer Walletscore measures the propensity of a crypto-wallet to interact in criminal activity.

Blockseer Pool is the North American-centered Bitcoin mining pool, supplying actual-time AML and bringing in a new normal in mining compliance and governance. In late 2020, DMG declared that its U.S. subsidiary Blockseer was launching a North American-based Bitcoin mining pool concentrated on governance, compliance, clear blocks, and audit-completely ready reporting for its users.

Blockseer Mine Supervisor is software package which tracks mining facilities’ performance. The software program presents automatic management of crypto mining facts facilities and distant container deployments.

“This is not about a essential change of the network, nor a Bitcoin revolution, and we are definitely not de-anonymizing Bitcoin, but we need to be organized for continuing technological advancement and regulatory adjustment of the Bitcoin community as it wants oversight to satisfy equally big institutional buyers and formal regulators,” stated DMG’s COO, Sheldon Bennett. “At DMG we are completely fully commited to constantly assist and improve the world-wide Bitcoin network, and at the exact same time we are convinced that the long term of Bitcoin’s fast growing mass adoption lies in regulatory compliance and market adoption as this wonderful cryptocurrency invention cannot and really should not be abused by criminals and terrorists or confined to the darkest corners of the world-wide-web. Bitcoin is a growing asset class and in purchase for Bitcoin to be adopted by substantial establishments and be acknowledged by regulators, improved mining pools will be necessary.”

DMG is thrilled that this new solution caught the attention of big North American miners, leading DMG to a new partnership.

DCMNA – A New Partnership

A short while ago DMG entered into a memorandum of understanding (“MOU”) with Marathon Patent Team (NASDAQ: MARA) which then registered and produced a 501c4 Non-Financial gain named the Digital Forex Miners of North America ( www.DCMNA.org ). The DCMNA intends to license Blockseer’s Bitcoin mining Pool application, a proprietary merchandise produced by DMG’s U.S. subsidiary. The organization’s principal initiative is to create North America’s initial cooperative Bitcoin mining pool so all its associates can consider gain of a cooperative community structure. Some critical highlights incorporate:

• DCMNA’s Inaugural Chairman is Merrick Okamoto, Executive Chairman of Marathon Patent Group Inc. (NASDAQ: MARA), one of the world’s greatest and leading Electronic Forex Mining providers.
• DCMNA will foyer for valuable modifications and procedures in North The usa for crypto mining. Financing of these attempts will be by means of a tiny share of pool fees allocated to its governing Committee.
• DCMNA enables its customers to meet up with Anti Dollars Laundering (AML) and Office of International Assets Management (OFAC) compliance via licensing Blockseer’s Pool which will include things like Blockseer’s Walletscore technologies.
• As the Pool is a cooperative it will rebate all consumers centered on hashrate contribution to assistance with subsidizing pool fees and increasing miner profitability
• As a member service organization, the DCMNA will continue on to have interaction DMG’s Blockseer for ongoing improvements to software program, items, and producing extra incentives for DCMNA Customers. Other member ideas and merchandise which benefit North American miners will be reviewed for inclusion as nicely.

DMG believes that the path to huge scale worldwide adoption for digital assets is vastly enhanced by way of mainstream adoption, from retail to institutional individuals. This process has begun, and it is very important that all members make certain they meet up with current pointers, restrictions, and reporting criteria. Blockseer qualified prospects DMG’s attempts to establish a vertically built-in blockchain corporation exactly where compliance is the vital to bridging the changeover of cryptocurrencies to mainstream adoption.

See DMG’s news release dated January 5, 2021 for more information and facts on the planned DCMNA.

Terms of the MOU with Marathon consist of DMG licensing Blockseer’s technologies and involved mental residence to DCMNA, as perfectly as the management of pool functions. Upon completion of a definitive settlement, comprehensive phrases and disorders will be offered in an future news release. Pool functions are expected to begin soon following coming into into a definitive settlement.

“DMG, as a vertically built-in Blockchain firm, focuses on all elements of the Bitcoin blockchain beginning at the mining ecosystem, through to securing the blockchain and processing Bitcoin transactions. Our small business divisions incorporate self-mining, hosting 3rd bash shoppers, advancement and deployment of application solutions these kinds of as Blockseer’s Mine Manager to manage mining operations, as properly as the the latest launch of Blockseer’s Pool, which aggregates Bitcoin mining hashrates and connects them to the Bitcoin protocol,” mentioned DMG’s CEO, Dan Reitzik.

For additional facts on DMG Blockchain Answers take a look at:  www.dmgblockchain.com

On behalf of the Board of Administrators,

Daniel Reitzik, CEO & Director

For further more information and facts, you should get hold of:

DMG Blockchain Solutions Inc.
E mail: [email protected]
Net:  www.dmgblockchain.com   

About DMG Blockchain Solutions Inc.

DMG is a vertically-integrated blockchain and cryptocurrency organization that manages, operates, and develops conclude-to-end electronic remedies to monetize the blockchain ecosystem. DMG’s companies are segmented into 3 main divisions: knowledge centre functions, details analytics and forensics and building company blockchains. DMG’s data centre functions emphasis on earning revenues from block benefits and transaction fees by mining mostly bitcoin, as effectively as giving web hosting expert services for industrial mining purchasers. DMG’s info analytics and forensic products and services present complex expertise computer software merchandise these kinds of as Blockseer Pool, Mine Supervisor and Walletscore, as perfectly as doing work with auditors, regulation firms, and legislation enforcement businesses. DMG’s permissioned blockchain technologies is centered on acquiring business program for the source chain management of controlled products and solutions. DMG’s method is to turn out to be the domain expert across the organization verticals it focuses on. DMG’s management workforce features seasoned crypto specialists, forensic & economic experts and blockchain builders with deep relationships through the market.

Cautionary Note Concerning Forward-Searching Information

This news launch contains ahead-on the lookout data primarily based on latest expectations. Statements about the Company’s strategies for the opportunity institution of its strategic very long-expression plans, its DCMNA pool and definitive settlement, to enhance petahash (PH) by self-mining, acquiring added bitcoin mining machines, elevating extra funds, employing the whole Christina Lake Facility, the opportunity of the immersion cooling technological innovation, the predicted positive outlook for the cryptocurrency and blockchain industries, price of bitcoin, plans and intentions, software package progress ideas, other potential transactions, acquisition of buyers, product improvement, occasions, courses of action, and the probable of the Company’s engineering and functions, between other folks, are all ahead-wanting details. Forward-seeking statements consist of statements that are not purely historic, such as any statements regarding beliefs, options, anticipations or intentions about the potential. These information can typically be recognized by the use of forwarding on the lookout wording this kind of as “may”, “expect”, “estimate”, “anticipate”, “intend”, “believe” and “continue” or the damaging thereof or comparable variants. The reader is cautioned that assumptions applied in the planning of any ahead-on the lookout details may possibly confirm to be incorrect. Functions or situations could induce precise benefits to differ materially from those predicted, as a consequence of quite a few acknowledged and unknown pitfalls, uncertainties, and other components, numerous of which are outside of the management of the Business, together with but not minimal to, organization, economic and money market problems the skill to deal with functioning bills, which may well adversely have an effect on the Company’s fiscal situation the ability to remain competitive as other much better financed rivals produce and release aggressive goods regulatory uncertainties access to tools marketplace ailments and the desire and pricing for products and solutions the demand and pricing of bitcoins security threats, which include a decline/theft of DMG’s bitcoins DMG’s relationships with its buyers, distributors and business partners the inability to incorporate much more electrical power to DMG’s services DMG’s ability to correctly define, structure and release new merchandise in a well timed fashion that meet up with customers’ requires the skill to entice, retain and motivate certified personnel levels of competition in the sector the affect of technologies alterations on the merchandise and sector failure to develop new and progressive products and solutions the capability to successfully keep and implement our intellectual residence legal rights and defend third-party claims of infringement of their mental home rights the impression of mental assets litigation that could materially and adversely have an affect on the organization the potential to manage doing the job cash and the dependence on vital staff. DMG might not actually accomplish its programs, projections, or expectations. This sort of statements and details are based mostly on several assumptions relating to existing and long term organization tactics and the atmosphere in which the Company will operate in the upcoming, including the need for its items, the capacity to effectively acquire application, that there will be no regulation or law that will stop the Corporation from working its organization, anticipated prices, the capacity to protected enough cash to entire its company plans, the capacity to reach aims and the rate of bitcoin. Specified these risks, uncertainties and assumptions, you should not place undue reliance on these forward-searching statements.

The securities of DMG are thought of very speculative owing to the character of DMG’s business enterprise.

Components that could lead to actual results to differ materially from those in ahead-on the lookout statements involve, failure to receive regulatory approval, the continued availability of money and funding, machines failures, deficiency of offer of tools, electric power and infrastructure, failure to acquire any permits required to run the company, the effects of technological know-how improvements on the business, the effects of COVID-19 or other viruses and health conditions on the Company’s ability to function, protected devices, and employ the service of personnel, decrease in the price tag of Bitcoin and other cryptocurrencies, opposition, safety threats which include stolen bitcoins from DMG or its shoppers, purchaser sentiment in direction of DMG’s merchandise, providers and blockchain technological innovation frequently, failure to produce new and impressive solutions, litigation, increase in working expenditures, increase in products and labor costs, failure of counterparties to conduct their contractual obligations, governing administration restrictions, decline of vital staff members and consultants, and typical economic, sector or business disorders. Forward-wanting statements contained in this news launch are expressly experienced by this cautionary assertion. The reader is cautioned not to area undue reliance on any ahead-looking information. The ahead-looking statements contained in this news release are produced as of the date of this information launch. Other than as demanded by law, the Business disclaims any intention and assumes no obligation to update or revise any ahead-seeking statements, no matter if as a final result of new details, long run functions or in any other case. Moreover, the Organization undertakes no obligation to remark on the expectations of, or statements created by 3rd get-togethers in regard of the matters mentioned higher than.

Neither the TSX Enterprise Trade nor its Regulation Support Company (as that phrase is described in the procedures of the TSX Enterprise Exchange) accepts accountability for the adequacy or precision of this information release.