As one of the key crypto mining companies that retail investors pay attention to, Hive Blockchain (NASDAQ:HVBT) is offering up a few new catalysts. Indeed, investors will note that the company’s ticker has changed. Hive Blockchain, previously traded over the counter, is now available on the Nasdaq under the ticker HVBT. For U.S. investors, buying HVBT stock on a major exchange has many benefits.
Among these, investors may be focused on increased liquidity and smaller bid-ask spreads on the stock. Indeed, greater market access to any stock is a good thing.
For investors intrigued by crypto miners, having domestic access to one of the key global players in this space is a good thing.
That said, Hive stock is currently up more than 5% at the time of writing. As investors may expect, this move may have more to do with another catalyst. A new listing is great, but investors may want to know what’s driving this stock today. Let’s dive in.
HVBT Stock Moving on Deal Announcement
As part of the deal, Hive will join Nvidia’s partner network. This deal provides Hive with access to Nvidia’s cloud service provider program. The company hopes this strategic move will advance its goals of expanding into enterprise cloud services. Indeed, the clientele Hive has identified as its potential market in this space will require high-performance computing workloads. This partnership appears to pave the way for this strategic shift.
Additionally, as a result of the agreement, Hive has entered into purchase agreements for Nvidia’s GPUs. The contract amount stands at $66 million. As the company’s mining activities pick up, more computing power will be needed. Securing these GPUs at a favorable cost could be beneficial to investors.
In short, there’s a lot to like about this partnership. And investors appear to be rightly bidding up Hive’s share price today.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.