Simply put
- Jack Dorsey’s Block has launched a new Bitcoin mining rig aimed at shaking up the industry.
- The machines are designed to lower miners’ costs through replaceable parts.
- Dorsey is known for his strong support of Bitcoin, actively pursuing various initiatives in the crypto space.
Jack Dorsey’s fintech company, Block, has introduced a new Bitcoin product: a mining rig that features swappable parts. This design allows miners to cut costs related to the repair and replacement of their high-powered devices.
Unveiled on Thursday, the new rig is expected to last about ten years, significantly longer than the usual three to five years. The Proto Rig’s design enables engineers to upgrade specific parts, like a hashboard, without needing to invest in an entirely new machine. Block claims that this innovation could lead to a 15-20% reduction in costs for miners during each upgrade cycle.
“Typically, mining rigs break down often, are hard to repair, can be costly, and they utilize energy inefficiently,” commented Thomas Templeton, Block’s hardware lead. “With these new rigs, we’ve aimed to change the game and contribute to the decentralization of mining hardware.”
Today marks the end of the RIP and exchanges Bitcoin mining. Proto Rig – the first miner built to become an infrastructure.
Replaceable hashboards
• Save 15-20% on each cycle
Works with legacy facility setups
Built by teams on blocks, improving and decentralizing miners’ uptime…
These new machines come at a time when mining costs are increasing, making it harder to earn rewards for verifying transactions on the blockchain. Last year’s halving reduced the reward for miners from 6.25 BTC to 3.125 BTC. Mining is notoriously challenging and requires immense energy, often leading industrial miners to operate vast warehouses full of equipment.
In the latest financial quarter, Mara Holdings, recognized as the leading company in BTC mining, reported a staggering 505% rise in net profits. Other miners also announced impressive results, likely benefiting from the increasing price of Bitcoin. However, experts caution that the fundamental issues in the industry aren’t going away, and some companies are shifting their resources toward AI or exploring Ethereum strategies.
President Donald Trump has expressed the desire to see all future Bitcoin mined in America, which could be a tall order given that many mining machines are currently produced in China. Nevertheless, Dorsey envisions a shift towards manufacturing in the U.S.
Having previously founded Twitter, now X, Dorsey has been vocal about his hope for cryptocurrencies to evolve into a global currency. He has a keen interest in payment systems based on Bitcoin, describing the Bitcoin white paper by Nakamoto as “poems.”
Block’s other ventures include Square and Cash App, both of which have rolled out Bitcoin products like crypto hardware wallets. Square’s payment systems also accommodate Bitcoin payments, although their reach remains limited.
On the stock market, Block’s shares were down about 1% on Thursday, while the broader S&P 500 index posted over a 10% gain in July.
Currently, Bitcoin trades around $118,200, having recently dipped almost 3% after reaching an all-time high just above $124,000. Overall, this leading cryptocurrency has risen more than 25% since the start of 2025.
