Crypto Mining Behemoth Canaan Collaborates With Blockchain Enterprise Northern Data
Canaan Creative, which stands second in the list of largest Bitcoin (BTC) mining hardware manufacturers, and blockchain framework provider Northern Data AG have entered into a strategic collaboration to bring together their operational and technological capabilities. Both parties intend to jointly offer their services in various business sectors.
Specifically, both firms will join hands on artificial intelligence and blockchain advancement, in addition to improve data center operations.
Northern Data concentrates on developing framework for highly efficient data processing, whose usages can stretch outside blockchain technology.
The company was established through a merger between Germany’s blockchain framework firm Northern Bitcoin AG and Whinstone US Inc., which runs a data center.
Canaan Creative’s CEO, NG Zhang, explained that the latest collaboration will permit for both technological development and geographic spread:
“Our R&D team is collaborating with Northern Data. Both sides have achieved positive results. In addition, Northern Data will provide computational resources support for our overseas R&D in the U.S. Canaan looks forward to further cooperation in product development, AI, and high-performance computing.”
Canaan is renowned for competency in the creation of AI chip and exclusive mining hardware such as ASICs Application-Specific Integrated Circuit (ASIC), which are customized to competently mine crypto based on a particular hashing algo.
Canaan, which was recently listed in Nasdaq, revealed that it manufactured 150 million ASICs from 2017 through September 2019.
The company also leads the production of 7nm chip customized for Bitcoin mining.
This is noteworthy in the sense that it is supposedly the first China-based AI chip manufacturer with sovereign intellectual property to effectively complete an initial public offering in the US.
Northern Data AG has disclosed its intention to enter into collaboration with several blockchain and AI developers in the months ahead.
Notably, Canaan’s share recorded a high of $8.04 earlier this week, reflecting an increase of more than 80% from its opening price of $4.42.
During 4Q 2019, when the company rolled out its Nasdaq IPO, shares were undervalued by more than 75%, with further decline of 40% in share price by mid-December.
Of late, Northern Data has launched collaboration with SBI Crypto, a crypto centered subsidiary of Japanese financial services giant SBI Holdings.
During the final quarter of 2019, Northern Data, which was known by the name Northern Bitcoin, inked a merger deal with Whinstone to build together the world’s largest mining center in Texas.
The planned mining center will start operating with a capacity of 300 megawatts and raise it to 1 gigawatt by the end of 2020.