News

Squire enters into development agreement with nChain

Vancouver, British Columbia – Squire Mining Ltd. (CSE:SQR | FWB:9SQ | OTCQB:SQRMF) (“Squire”) is pleased to announce it has entered into a continuous development and services agreement (the “Agreement”) with leading U.K. blockchain research and development firm nChain Limited (“nChain”) to collaborate and develop leading blockchain software solutions.

With the recent acquisition of custom cloud computing management and pooling software and source code (called “Taal Orchestrator”) announced on May 2, 2019, Squire plans to enhance this software solution in collaboration with nChain to create operational performance optimization, efficiencies and internal controls. Taal Orchestrator conducts and coordinates pools of cloud computing assets providing full visibility and transparency to end-users to track performance and perform other functions previously unavailable to industry participants.

Squire and Core Scientific will also work with nChain to develop the Bitcoin SV based blockchain supply management, distribution and public pooling solution (the “Distribution Platform”) announced on June 4, 2019. The Distribution Platform is a modular system encompassing:

• an e-commerce platform based on blockchain technology with an auditable ledger of actions
• unique digital tokens representing physical cloud computing assets providing an access and control framework with real-time tracking capability
• complete asset life cycle history
• enhanced software management and end-user interface

“We are very excited to be working with Squire to develop next generation cloud computing software solutions,” said David Washburn, CEO of nChain. “Squire is at the forefront of the rapidly changing blockchain infrastructure landscape, and nChain looks forward to partnering with Squire as they obtain a leadership position in this space.”

“nChain is very well known for thought leadership and innovative intellectual property in this space. We are very eager to get around the table with this group and start building leading technology that will not only benefit our operations but provide so much value to future enterprise clients entering the blockchain space,” Angela Holowaychuk, Interim CEO of Squire Mining.

About nChain Limited

nChain is a global leader in advisory, research, and development of open blockchain technologies. Established in 2015, the UK-based company is one of the most active developers of intellectual property and software in the blockchain space, with a focus on bringing to market enterprise-grade open blockchain solutions for global business.

About Squire Mining Ltd.

Squire is a Canadian based technology company engaged, through its subsidiaries, in the business of developing and operating cloud computing data infrastructure and system technology to support global blockchain applications related to Bitcoin SV, Bitcoin Core and other associated SHA-256 derived digital assets.

About Bitcoin SV

Bitcoin Satoshi Vision (BSV) is the only Bitcoin implementation that follows Bitcoin’s original design, protocol and vision, as expressed by its creator Satoshi Nakamoto. Squire supports the BSV roadmap as it is the only project that aims to enable massive blockchain scaling by significantly increasing the Bitcoin block size so blocks can fit much more transactions and data and thus generate more transaction fees for miners, and outlines for the crypto mining sector why massive blockchain scaling is important for the entire interrelated Bitcoin ecosystem. Dr. Craig S. Wright, who serves on Squire’s strategic advisory board, has been issued U.S. copyright registrations, as author under the pseudonym Satoshi Nakaomoto, for the original Bitcoin white paper and most of the original Bitcoin code.

Squire mining provides update to shareholders on its transaction to acquire cloud computing companies and notification of postponement of special meeting

Vancouver, British Columbia; July 30, 2019 – Squire Mining Ltd. (CSE:SQR | FWB:9SQ | OTCQB:SQRMF) (the “Company”) wishes to provide an update on its transaction announced on May 30, 2019 (the “Transaction Announcement”) to acquire all of the issued and outstanding shares of certain companies which own and operate a fleet of cloud computing assets representing approximately 2,985 petahash (the “Transaction”) and timing for the special meeting of shareholders of the Company (the “Shareholders Meeting”) previously scheduled for July 31, 2019.

Since the announcement of the Transaction, the Company has been working towards the completion of a revised Form 2A Listing Statement (the “Listing Statement”) as required pursuant to the policies of the Canadian Securities Exchange (“CSE”), a draft of which was filed by the Company for review by the CSE. Trading in the common shares of the Company is expected to remain halted until such time as the Company receives acceptance by the CSE of the Listing Statement.

The Shareholders Meeting which has been called to approve an amendment to the articles and notice of  articles of the Company to create non‐voting participating shares to be issued in connection with the Transaction (the “Amendment”) and the change of business (and fundamental change) pursuant to the Transaction (the “Shareholder Approvals”) has been postponed. The Company will announce the new date for the Shareholders Meeting in due course.

Clarification

As previously announced, the Transaction is subject to conditions to closing including receipt of CSE approvals and Shareholder Approvals. The Transaction Announcement erroneously stated the Amendment required approval by at least 66 2/3% of the votes cast by the shareholders of the Company at the Shareholders Meeting. The Company would like to clarify that the Amendment will require approval by a simple majority of the votes cast by the shareholders of Squire at the Meeting.

About Squire Mining Ltd.

Squire is a Canadian based technology company engaged, through its subsidiaries, in the business of operating, managing and developing cloud computing data infrastructure and system technology to support global blockchain applications related to Bitcoin SV, Bitcoin Core and other SHA‐256 based digital assets.

For further information contact:
Angela Holowaychuk
Interim Chief Executive Officer
Telephone: +1 800‐371‐2809

The CSE accepts no responsibility for the adequacy or accuracy of this release.

CAUTIONARY STATEMENT REGARDING FORWARD‐LOOKING INFORMATION: This news release includes “forward‐looking information” as defined under applicable Canadian securities legislation. Forward‐looking information and statements include, but are not limited to, disclosure regarding possible events, that are based on assumptions about future economic conditions and courses of action.
Forward‐looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward‐looking information. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets, lack of available capital, future demand for Bitcoin SV, Bitcoin Core and other cryptocurrencies and risks related to the mining thereof, integration issues, personnel and staffing requirements and technological change and obsolescence and risks that the conditions to closing in respect of the Transaction will not be satisfied. There are no assurances with respect to: whether the Transaction will be completed or completed on the same terms or in the anticipated time provided or that conditions to closing in respect of the Transaction will be satisfied including without limitation: obtaining approval and acceptance by the CSE of the revised Listing Statement; the timing for release of the halt of trading of the common shares on the CSE; the timing of the Shareholders’ Meeting; obtaining the required shareholder approval at the Shareholders’ Meeting; and the timing and completion of the Transaction (on the terms presently contemplated or otherwise). Actual results and future events could differ materially from those anticipated in such forward looking information. Accordingly, readers should not place undue reliance on
forward‐looking information. All forward looking information in this news release is made as of the date hereof and qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR at www.sedar.com. Squire disclaims any intention or obligation to update or revise such forward‐looking information, whether as a result of new information, future events or otherwise, except as required by law.

Squire mining files amended business acquisition report

Vancouver, British Columbia; July 29, 2019 – Squire Mining Ltd. (CSE:SQR | FWB:9SQ | OTCQB:SQRMF) (“Squire”) today announced that it has filed an amended business acquisition report dated July 26, 2019 (the “Amended BAR”), relating to Squire’s acquisition of Freschette Limited that closed on May 2, 2019. The Amended BAR replaces and supersedes the previous business acquisition report of Squire filed on July 15, 2019.

The Amended BAR includes notice indicating that no auditor has reviewed the condensed interim financial  statements pursuant to National Instrument 51‐102 – Continuous Disclosure Obligations, and the  condensed interim financial statements for Freschette Limited have been amended to include comparatives as at December 31, 2018 and a revised statement of cash flows for the period from January 1, 2019 to April 30, 2019.

The Amended BAR can be viewed on SEDAR at www.sedar.com.

About Squire Mining Ltd.

Squire is a Canadian based technology company engaged, through its subsidiaries, in the business of  developing and operating cloud computing data infrastructure and system technology to support global blockchain applications related to Bitcoin SV, Bitcoin Core and other associated SHA‐256 derived digital assets.

For further information contact:
Angela Holowaychuk
Interim Chief Executive Officer
Telephone: +1 800‐371‐2809

The CSE accepts no responsibility for the adequacy or accuracy of this release.

Understanding Bitcoin mining hardware

The hardware used to mine Bitcoin has changed quite a bit since the digital currency was first introduced in 2009. As the difficulty to mine a block has gone up, the hardware used to stay profitable has gotten more specialized and efficient.

Mining hardware has to do a couple of things to be successful. It needs to perform calculations fast enough to mine the next block and award it to the rig’s owner, and it needs to do so efficiently enough to turn a profit.

The reward of each block is 12.5 Bitcoin in 2019, and the price of the coin determines how much that will be. The cost to mine that block depends on the efficiency of the hardware in performing its calculations, which can be determined by the amount of power it needs to run, and how much that
power costs.

In 2009, the difficulty to mine a block was fairly low, and just about anyone could mine Bitcoin using the multi-core processor in their personal computer. The price of Bitcoin was low, but so was the cost of running a consumer grade computer.

As the difficulty of mining Bitcoin steadily increased over time, the hardware needed to evolve to meet the task. In the early 2010s, Bitcoin miners discovered they could use graphical processing units (GPUs), typically used for video processing and computer games, to mine Bitcoin. Multiple GPUs could be installed in a machine, and they would mine Bitcoin faster than CPUs had.

As Bitcoin got more popular and mining got more difficult, GPU mining eventually gave way to ASIC (Application specific integrated circuits) mining. ASIC rigs are purpose built to mine Bitcoin, and provide the fastest computational power possible for the lowest consumption of energy.

Now, the difficulty of mining has far surpassed the capabilities of CPUs and GPUs. Although they can technically do it, the speed at which they operate is too slow, meaning someone else will mine the next block first, and the energy cost to do so would be prohibitive. To mine Bitcoin, an operation needs ASIC miners, and plenty of them.

ASIC technology is progressing all the time, with hardware getting faster, more efficient, and less energy intensive to run. Modern mining operations run top of the line ASIC rigs, which can be a big investment up front, but gives them the most powerful systems to mine blocks with for the most efficient energy usage.

It’s a huge step forward when compared to the early days of Bitcoin when anyone could mine from their dorm room, but the Bitcoin industry has demanded that level of progress from miners and mining equipment.

Squire Mining announces appointment of Kevin Turner to advisory board

Vancouver, British Columbia; July 25, 2019 – Squire Mining Ltd. (CSE:SQR | FWB:9SQ | OTCQB:SQRMF) (the “Company”) is pleased to announce the appointment of B. Kevin Turner to the Company’s Advisory Board.

Mr. Turner has over 30 years of business experience. He is currently the President and CEO of Core Scientific, Inc., a leader in infrastructure and software solutions for artificial intelligence and blockchain technology, the Vice Chairman of Albertsons/Safeway and a member of the board of directors of Nordstrom. Mr. Turner was previously the Vice Chairman of Citadel LLC and the Chief Executive Officer of Citadel Securities. He served as Microsoft’s Chief Operating Officer from 2005 to 2016, where he led the company’s global sales, marketing and services and support organization of 55,000+ employees in more than 190 countries. Under his leadership, the sales and marketing group grew the company from US$35 billion to over US$91.9 billion in revenue in fiscal 2016.

Prior to Microsoft, Mr. Turner spent nearly 20 years at Wal‐Mart Stores, where he rose through the ranks and was named the youngest corporate officer ever at Wal‐Mart at age 29. He held various leadership positions at Wal‐Mart including becoming the Executive Vice President and Chief Information Officer for Wal‐Mart Stores, Inc.

Mr. Turner stated, “I am delighted to be joining the advisory board of Squire Mining and I am excited to work with Stefan Matthews and the Squire management team in this exciting space.” Stefan Matthews, Chairman of the Company, commented, “We are grateful for the addition of Mr. Turner to our advisory board and believe that his experience, expertise and advice will assist Squire in developing strategy for long term growth and expansion. Core Scientific will be a key partner in platform development and hosting solutions and Mr. Turner’s knowledge in these areas and leadership at Core Scientific will be very important to Squire.”

Mr. Turner joins fellow advisory board members, Jimmy Nguyen (Founding President, Bitcoin Association) and Dr. Craig S. Wright (Chief Scientist at nChain, the advisory, research & development firm for blockchain technologies).

About Squire Mining Ltd.

The Company is a Canadian based technology company engaged, through its subsidiaries, in the business of operating, managing and developing cloud computing data infrastructure and system technology to support global blockchain applications related to Bitcoin SV, Bitcoin Core and other SHA‐256 based digital assets.

For further information contact:

Angela Holowaychuk
Interim Chief Executive Officer
Telephone: +1 800‐371‐2809

CAUTIONARY STATEMENT REGARDING FORWARD‐LOOKING INFORMATION: This news release includes “forward‐looking = information” as defined under applicable Canadian securities legislation. Forward‐looking information and statements include, but are not limited to, disclosure regarding possible events, that are based on assumptions about future economic conditions and courses of action. Forward‐looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward‐looking information. Actual results and future events could differ materially from those anticipated in such forward looking information. Accordingly, readers should not place undue reliance on forward‐looking information. All forward looking information in this news release is made as of the date hereof and qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR at www.sedar.com. Squire disclaims any intention or obligation to update or revise such forward‐looking information, whether as a result of new information, future events or otherwise, except as required by law.

No, Bitcoin Mining is not a threat to the environment

Type Bitcoin Mining on any search bar and among the first things that will pop up are how it’s “power-hungry,” an “energy hog,” and essentially a threat to the environment.

But is it really?

Although mainstream media has been quick to pass judgment that cryptocurrency mining is detrimental to the environment, there have studies and research papers that contradict these FUDs. A paper in the Joule journal estimated that Bitcoin’s annual electricity consumption adds up to 45.8TWh as of November 2018, accounting for 0.2% of global electricity use.

A CoinShares study, however, pointed out that majority of the energy consumed by mining cryptocurrencies—as much as 74.1%—comes from renewable sources such as wind, solar, and hydropower, which makes Bitcoin mining is “more renewables-driven than almost every other large-scale industry in the world.”

CoinShares isn’t the first to dismiss the doom-and-gloom scenario painted by groups castigating cryptocurrency for its perceived environmental wastefulness. Dr. Katrina Kelly-Pitou, a research associate in electrical and computer engineering at the University of Pittsburgh, wrote an article for non-profit academic media outlet The Conversation in which she noted that the general narrative that portrayed cryptocurrency as an environmental risk is an oversimplification that leads to factual inaccuracies among mainstream readers.

As Kelly-Pitou pointed out, “I am a researcher who studies clean energy technology, specifically the transition toward decarbonized energy systems…New technologies—such as data centers, computers and before them trains, planes and automobiles—are often energy-intensive. Over time, all of these
have become more efficient, a natural progression of any technology: Saving energy equates to saving costs.”

In Bitcoin’s case, the systems get more efficient as usage grows. This means that the more people uses the network to transact, the more energy efficient Bitcoin system mining gets.

By restricting the discussion to Bitcoin mining’s energy consumption alone, the larger truth about energy and environmental concerns remain unaddressed. Kelly-Pitou noted: ““Like many other aspects of the energy industry, Bitcoin is not necessarily a ‘bad guy.’ It’s simply a new, and vaguely understood, industry. The discussion about energy consumption and bitcoin is, I believe, unfair without discussing the energy intensity of new technologies overall, specifically in data centers.”

Bitcoin Mining during the highs and lows of a turbulent market

If your new to Bitcoin mining, and the market is doing very well, it can feel like you’ve acquired a license to print money. The real test comes when the price of Bitcoin turns sour, which it can very quickly, and a mining operation has to do everything it possibly can to keep making a profit.
Managing all the variables of the chaotic Bitcoin mining industry can be tricky.

The basics don’t change very much either way, so streamlining an operation to work regardless of the price of digital currencies is key. That starts with keeping costs low.

An operation wants to start with the most energy efficient equipment it can get its hands on to keep the demand for energy as low as possible. After that, it will also want to find the cheapest, most reliable sources of energy. Canada makes a great option for cheap renewable energy, and it has the added benefit of being a cold weather country, keeping cooling costs low. Finally, different governments might be offering tax incentives or energy discounts to attract mining operations, and this kind of bonus is hard to walk away from.

Once a mining operation has these basics down, it then becomes a question of how does it handle the fluctuations of the marketplace. The price of Bitcoin can vary wildly, and energy costs are rarely guaranteed to stay consistent.

The key here is the ability to scale and stay flexible. If the price of Bitcoin suddenly falls off a cliff, having an operation that can quickly shift to other SHA‐256 derived digital assets could mean the difference between running a deficit or turning a profit. Having a few rigs in reserve that can be turned on when the market starts climbing or turned off when it takes a dive, could help pad the budget for when the price levels off later on.

The uptime of those rigs is important to maintain overall as well. If the market suddenly surges, and only 900 of 1000 miners are operating, 10% of the hash power at an operator’s disposal is being wasted. The key to maintaining an efficient, profitable operation is getting the most uptime out of all the hardware, and avoiding situations when it needs maintenance at the worst possible time.

Having flexible energy options can make a huge difference here as well. If a mining site is entirely dependent on one external supplier of energy, sudden changes in prices, perhaps because of a change in seasons, could be disastrous to the bottom line. Having internal solutions, if local government allows it, such as solar panels of wind turbines, can both stabilize energy costs and provide an additional source of revenue.

Bitcoin mining can be extremely profitable, but if an operation doesn’t take control of as many variables as possible, it can also be very risky. By taking all of these factors into account, a Bitcoin miner will find much more long success and survive the next rollercoaster ride of the marketplace.

The advantages of crypto mining in Canada

Canada has quickly proven itself as the best place for cryptocurrency miners. For many reasons, including political, climate and technological, the great white north provides all sorts of advantages to mining operations.

The first and most decisive reason miners chose Canada is for its low electricity costs. As cryptomining can be a very energy intensive process, having low cost, clean, renewable sources of energy is a key factor for miners, who need to keep this part of their budget under control as they scale their efforts. Canada has some of the cheapest electricity in the world, largely coming from environmentally friendly sources.

Quebec, for example, gets all of its electricity from environmentally friendly hydroelectricity. It has so much of it, that it consistently has some of the cheapest energy costs in North America. Manitoba also offers cheap hydro, and have attracted cryptominers as a result. Alberta similarly competes with cheap natural gas electricity, bringing in plenty of operations.

It’s also comparatively inexpensive to import Chinese manufactured mining equipment in Canada, as a typical 27.5% import duty does not apply. Getting an operation started with a lower start-up cost could make a big difference to short term profits.

As a cold weather country, Canada helps to solve one of the most consistent issues a mining operation can face: overheating. Cold Canadian winters, and summers that don’t get too hot, help reduce the cooling costs associated with crypto mining, which can run quite high with the temperatures that a mining rig can achieve.

It should be noted though that Canada is a big country, and the climate can vary wildly. Southern Quebec, for example, can get very hot and humid in the summer, and doesn’t offer much of an advantage when it comes to keeping equipment cool.

Finally, Canada’s governments have taken a mature, considered approach to cryptocurrency mining. As opposed to other countries that have proven to turn on a dime with their policies, Canada’s approach has been to allow development, and broadcast their intended changes in policy well in advance. Those that they have seriously considered are intended to protect the people and fight real crime, like anti-money laundering laws proposed in November 2018.

Squire, a publicly listed company, is constantly reviewing hosting opportunities, both in Canada and in stable jurisdictions around the world, as it maintains its growing fleet.

When it comes to cryptocurrency mining, Canada has provided a great combination of factors to run a mining operation. Energy is cheap, the climate is preferable, and governments are supportive. That’s a tough combination for most countries to compete with.

What is proof of work, and why is it integral to Bitcoin Mining?

Proof of work is a term that’s been regularly tossed around in the Bitcoin Mining sector. But what is it really, and why is it essential for cryptocurrencies?

The Proof of Work algorithm, or PoW for short, is one of the primary tenets underpinning the operations of Bitcoin—the original Bitcoin as envisioned by the Satoshi Nakamoto whitepaper. It’s the original consensus algorithm in a blockchain network, creating an economic measure that deters attacks to the network such as distributed denial-of-service attacks (DDoS).

PoW is a concept that exists prior to Bitcoin’s genesis. The idea of PoW was first explained in a 1992 journal article authored by Cynthia Dwork and Moni Naor as a way to deter spam, but the term “proof of work” didn’t come into play until 1999, when Markus Jakobsson and Ari Juels coined it in a document.

For Bitcoin, the PoW algorithm makes it so that the probability of mining a block depends of the work done by miners. In his seminal whitepaper, Satoshi Nakamoto stated that miners “vote with their CPU power.” This allows for a competitive race to solve a mathematical puzzle, and successful miners are rewarded with Bitcoin, leading to an ever growing robust system with a distributed trustless consensus—one that is increasingly more difficult, not to mention costly to attack.

Writer Sumanth Neppalli explains in a Medium post that Proof of Work “discourages collusion of actors” as it is “a global decentralized free market that cannot be influenced by any action other than investment into the network.”

The fallacy of wastefulness

These days, mining activities require sizeable investments, as equipment move from GPU to ASIC. In addition, many crypto opponents deemed the PoW concept as wasteful.

The ongoing fallacy is that Bitcoin Mining will pave the way for “environmental devastation” due to its energy use. But as Dan Held points out, POW is about the physics behind a movement, not about the
code. Since cryptocurrency is a commodity that is minted from energy, POW turns “electricity into digital gold.”

The so-called “economic density” of a crypto transaction is also constantly increasing. This means, according to Held, is that the energy unit secures more economic value as the blockchain evolves into a settlement network.

Bitcoin Mining operations can be located in areas where the least expensive energy can be sourced, and in the future, it can help with renewable energy sources that have variable output. Squire Mining, for its part, is constantly reviewing hosting opportunities in stable jurisdictions around the world as it maintains its growing fleet of mining operations.

Squire releases first month financial results since acquiring first phase of Coingeek cloud computing operations

Vancouver, British Columbia – June 17, 2019 – Squire Mining Ltd. (CSE:SQR | FWB:9SQ | OTCQB:SQRMF) (“Squire”) announces its financial results for the first month of cloud computing operations for the month ended May 31, 2019. As previously announced, on May 1, 2019 Squire acquired all of the issued and outstanding shares of Freschette Limited (“Freschette”), which operates a cloud computing fleet of 20,500 units, representing 276 petahash/second (PH/s) of computing power operating in Kazakhstan. On the same date Taal Technologies SEZC (“Taal Tech”), a wholly owned Cayman Islands based subsidiary of Squire, entered into a cloud computing agreement with Freschette pursuant to which Taal Tech has exclusively engaged Freschette’s computing power in connection with its blockchain infrastructure support and cryptographic transaction verification activities.

Over the period from May 1, 2019 to May 31, 2019, Taal Tech realized a total of 306.76 Bitcoins (“BTC”) or estimated gross revenue of US$2.24 million for its first month of operations. Site operating costs in connection with operations for the period were US$1.23 million, resulting in cloud computing operating profit of US$1.01 million or cloud computing operating profit margin of 45%. Estimated gross revenue is measured based on the fair value of the BTC received at the time it is received. The fair value is determined using the estimated closing BTC index (BTC/USD) price each day per a third party quotation provider. To determine estimated gross revenue, the Company is relying on data available from a third party quotation provider to be an accurate representation of the closing price for the digital assets.

These numbers as reported are not audited. Financial results of Squire for the three months and six months ended June 31, 2019 will be available on Squire’s SEDAR profile at www.sedar.com in due course. The results presented in this report are not indicative of the results that may be expected for any future period.

About Squire Mining Ltd.

Squire is a Canadian based technology company engaged, through its subsidiaries, in the business of developing and operating cloud computing data infrastructure and system technologies to support global blockchain applications related to Bitcoin SV, Bitcoin Core another associated SHA‐256 derived digital assets.

For further information contact:
Angela Holowaychuk
Interim Chief Executive Officer
Telephone: +1 800‐371‐2809

The CSE accepts no responsibility for the adequacy or accuracy of this release.

FINANCIAL MEASURES: There are measures included in this release that do not have a standardized meaning under generally accepted accounting principles (GAAP) and therefore may not be comparable to similarly‐titled measures and metrics presented by other issuers and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. Squire includes these measures because it believes certain investors use these measures and metrics as a means of assessing financial performance. In this release, certain terms are used, which are not found in the Chartered Professional Accountants of Canada Handbook and do not have any standardized meaning prescribed under GAAP and may not be comparable to similar measures presented by other companies. In particular, cloud computing operating profit is a non‐GAAP measure.

CAUTIONARY STATEMENT REGARDING FORWARD‐LOOKING INFORMATION: This release includes
“forward‐looking information” as defined under applicable Canadian securities legislation. Forward‐looking information and statements include, but are not limited to, disclosure regarding possible events, that are based on assumptions about future economic conditions and courses of action. Forward‐looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward‐looking information. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets, lack of available capital, future demand for Bitcoin SV, Bitcoin Core and other cryptocurrencies and risks related to the mining thereof, integration issues, personnel and staffing requirements and technological change and obsolescence. There are no assurances with respect to: the realization, if at all, of the fair value of BTC on the basis of the estimated closing BTC index (BTC/USD) price each day
provided (as provided by a third party quotation provider) and statements made regarding the financial
position (including operational revenue, cost, profit and profit margin) and operational success of Squire
and any of its subsidiaries (including Freschette and Taal Tech). Actual results and future events could
differ materially from those anticipated in such forward looking information. Accordingly, readers should
not place undue reliance on forward‐looking information. All forward looking information in this release
is made as of the date hereof and qualified by these cautionary statements and those in our continuous
disclosure filings available on SEDAR at www.sedar.com. Squire disclaims any intention or obligation to
update or revise such forward‐looking information, whether as a result of new information, future events
or otherwise, except as required by law.

Squire Enters Into A Binding Letter Of Intent With Core Scientific For Hosting Of Blockchain Cloud Computing Assets

Vancouver, British Columbia; June 4, 2019 – Squire Mining Ltd. (CSE:SQR | FWB:9SQ | OTCQB:SQRMF) (“Squire”) is pleased to announce that it has entered into a binding letter of intent (the “Agreement“) to relocate 41,166 blockchain cloud computing units (the “Assets”) pursuant to a hosting agreement with Core Scientific Inc. (“Core Scientific”).  

Pursuant to the Agreement, the Assets will be hosted at Core Scientific’s state‐of‐the‐art facilities in the United States and performance will be optimized using Core Scientific’s proprietary technology. Additionally, the parties have agreed on a collaboration with respect to the development of a Bitcoin SV‐based blockchain supply management and distribution solution that is expected to benefit hardware manufacturers, infrastructure providers and end‐users in the blockchain and crypto mining sectors. Squire has committed to providing hosting prepayments of US$6,375,000 and covering shipping and customs costs to relocate the Assets, and Core Scientific has committed to expending a minimum of US$12,000,000 to buildout its infrastructure to accommodate the Assets. 

Core Scientific (https://www.corescientific.com/) is a leader in artificial intelligence (“AI”) and blockchain, delivering best‐in‐class infrastructure and software solutions. In an increasingly distributed and connected world, Core Scientific believes AI and blockchain will fundamentally change the way information is processed, shared and stored across a range of industries. Led by a team that has a 10+ year AI and blockchain success story, Core Scientific provides custom hosting solutions at scale.

Core Scientific is pioneering new innovations and best practices in the AI and blockchain landscape, with advanced capabilities operating infrastructure at scale. Core Scientific’s platform is trusted by large‐ scale partners around the world to deliver reliable solutions that quickly adapt to dynamic market conditions.

Core Scientific’s Chief Executive Officer, Kevin Turner said, “I am delighted that Core Scientific is partnering with Squire. Our industry leading in‐house management and monitoring solution, Minder™, combines our hosting expertise with data analytics and AI to ensure continuous uptime, alerting, monitoring and management, and our custom ASIC operating system, MinderOS™, and optimization suite provides significant profitability gains for Squire.”

With Bitcoin SV becoming a massively scaled blockchain, it is paramount that operators in this space understand the complexities of this network and the need for standardization so that the ecosystem is adopted by enterprise and institutional users.

“It is important for Squire to partner with such a reputable and trustworthy industry leader in the space. Core Scientific’s facilities are advanced and secure. Their focus on optimal performance, dedicated maintenance and internal controls will have a significant impact on Squire’s operations and the longevity of our assets.” Stefan Matthews, Chairman of Squire.

About Squire Mining Ltd.

Squire is a Canadian based technology company engaged, through its subsidiaries, in the business of developing and operating cloud computing data infrastructure and system technology to support global blockchain applications related to Bitcoin SV, Bitcoin Core and other associated SHA‐256 derived digital assets.  

For further information contact:

Angela Holowaychuk
Interim Chief Executive Officer
Telephone: +1 800‐371‐2809

ABOUT BITCOIN SV: Bitcoin Satoshi Vision (BSV) is the only Bitcoin implementation that follows Bitcoin’s original design, protocol and vision, as expressed by its creator Satoshi Nakamoto. Squire supports the BSV roadmap as it is the only project that aims to enable massive blockchain scaling by significantly increasing the Bitcoin block size so blocks can fit much more transactions and data and thus generate more transaction fees for miners, and outlines for the crypto mining sector why massive blockchain scaling is important for the entire interrelated Bitcoin ecosystem. Dr. Craig S. Wright, who serves on Squire’s strategic advisory board, has been issued U.S. copyright registrations, as author under the pseudonym Satoshi Nakaomo, for the original Bitcoin white paper and most of the original Bitcoin code.  

CAUTIONARY STATEMENT REGARDING FORWARD‐LOOKING INFORMATION: This news release includes “forward‐looking information” as defined under applicable Canadian securities legislation. Forward‐ looking information and statements include, but are not limited to, disclosure regarding possible events, that are based on assumptions about future economic conditions and courses of action. Forward‐looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward‐looking information. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets, lack of available capital, future demand for Bitcoin SV, Bitcoin Core and other cryptocurrencies and risks related to the mining thereof, integration issues, personnel and staffing requirements and technological change and obsolescence and risks that the conditions to closing in respect of the transaction will not be satisfied. There are no assurances with respect to: the timing and completion of the relocation of the blockchain and cloud computing units pursuant to the Agreement; the effect of the Agreement and the hosting agreement with Core Scientific on Squire’s business; the timing, completion and success of the collaboration by Squire and Core Scientific with respect to the development  of a Bitcoin SV‐based blockchain supply management and distribution solution (including any benefit therefrom to hardware manufacturers, infrastructure providers and end‐users in the blockchain and    CAN_DMS: \127788542\4 crypto mining sectors); statements relating to Core Scientific’s innovations and best practices in the AI and blockchain landscape; and statements made by the Chairman of Squire. Actual results and future events could differ materially from those anticipated in such forward looking information. Accordingly, readers should not place undue reliance on forward‐looking information. All forward looking information in this news release is made as of the date hereof and qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR at www.sedar.com. Squire disclaims any intention or obligation to update or revise such forward‐looking information, whether as a result of new information, future events or otherwise, except as required by law.

CoinGeek Toronto Conference 2019: Bigger blocks, massive scaling, no limits

UPDATE

In case you haven’t noticed, the Squire Mining website has gotten a fresh new look! On this space, expect weekly blog posts that will keep you updated on what the team is up to, as well as think pieces from our advisory board inaugural members—Bitcoin Association Founding President Jimmy Nguyen and nChain Chief Scientist Dr. Craig Wright—on the future of mining and education about the space.


CoinGeek Conference: Bitcoin, no limits

Bitcoin professionals from all over the globe gathered at the recently held CoinGeek Toronto Conference 2019 for two days of meaningful discussions about the developments happening with Bitcoin SV (BSV), and also to talk about why massive on-chain scaling is essential for the BSV ecosystem to move forward. Massive scaling, after all, was the overall theme of the conference. No limits, only with Bitcoin SV.

Day 2, aka the main conference, showcased high-caliber speeches, panel discussions, and special features including finalist presentations for the Bitcoin Association’s first BSV Hackathon, as well as a special intimate conversation with nChain Chief Scientist Dr. Craig S. Wright about the beginnings of Bitcoin.

Money Button CEO Ryan X. Charles, who discussed “Digital Storage and Digital Rights Management on the BSV Blockchain with Money Button,” tells us what it actually means to use massive on-chain scaling in a real business.

“Individual companies can often need terabyte size blocks just by themselves depending on what they do, so we need to scale massively because we’re going to put more than just one company—we’re going to put an entire industry, we’re also going to put the entire world’s economy on this,” Charles said. “The reason why that matter is it’s not even just payments. You actually can put real data on the blockchain too, and so the sizes start getting very, very large. If you need properties like, I really want this contract to be encrypted but also stored permanently and immutably so that no one can alter it after the fact, you put the actual contract on the blockchain. That takes data.”

But why is it important to scale now, and scale fast in terms of block size? The answer is simple: There’s a direct economic need for miners.

Bitcoin miners earn a fixed block reward amount for each block they mine, in addition to the fees for each individual transaction mined on the block. Currently, the reward is 12.5 coins, but come 2020, it will be split in half to 6.25 coins. To remain profitable after the reward halving takes place, miners will need to generate more revenue from higher volumes of transactions via new applications that are processing large amounts of data on the blockchain.

Even indie game developer Kronoverse agrees that BSV, which has made unlimited scaling a unique reality, the only choice for application developers like them. David Case, chief architect of Kronoverse, explains:

“Well really, BSV is kind of like our only choice… it solves all the problems that we’ve been [having], and we’ve spent a year and half in R&D, [actually] over a year trying to just explore everything that’s out there in the blockchain space… Every step of the way, we had to solve all sorts of other problems, build all sorts of other toolings, and the scale and just being able to rely on the commodity blockchain that we don’t have to worry about how to solve the consensus aspect but yet having the scaling and the cheap transactions, just… it’s our only choice.”

For his presentation, Bitstocks CEO Michael Hudson talked about “Banking on BSV,” giving the audience an overview of what they can expect from Bitstocks’ groundbreaking Bitcoin banking ecosystem, Gravity.

“What we are launching first is the ability of the investment service, so the ability to hold Bitcoin [Core], Bitcoin Cash as well as obviously Bitcoin SV. The logic behind that is to enable people who might have a different view as what Bitcoin really is and while they’re going on their inevitable journey of discovery they have access to then convert their assets into SV if they wish to make that decision to then interact with the wider Gravity ecosystem, so that will be the current accounts, the debit cards, the loan systems, Gravity Pro which eventually is going to be some other cool things, I’m not going to announce right now, but they’re all going to be exclusively on Bitcoin SV. I don’t want to ostracize the Bitcoin Core community or the Bitcoin Cash community because they’ve been essentially miss-sold what Bitcoin is. We want to help support them and provide the infrastructure if they so wish to then have a much better experience that’s more in line with what we believe Bitcoin to be, which is Bitcoin SV,” Hudson tells us.

One of the highlights of CoinGeek Toronto scaling conference is a fireside chat with Founding President of the Bitcoin Association Jimmy Nguyen and Dr. Craig Wright, the person behind the pseudonym Satoshi Nakamoto and creator of Bitcoin. The two’s wide ranging discussion included topics like the beginning of Bitcoin—Nguyen opened the fireside by asking Wright, “Did you create Bitcoin?”—as well as the destiny that Bitcoin was created to achieve, and how Bitcoin SV (BSV) is fulfilling the destiny of Satoshi Vision.

Wright has this to say about Bitcoin and its future:

“Bitcoin is an immutable evidence trail. It is a single global ledger. Once we roll it out, we’re going to make fraud expensive, fraud difficult. They’re going to make it so that people can actually trust money, trust negotiating with people, and because there’s no way to get away with something bad, there’s a record kept of everything, that’s what we’re seeking.”

Watch CoinGeek Toronto Conference Day 2 highlights: