When people talk about crypto mining, hash rate usually dominates the conversation. Bigger numbers, more power, faster blocks. But HIVE Digital Technologies Ltd. (HIVE) thinks that's becoming a dated way to keep score. According to the company's leadership, the real competitive edge heading into 2026 has less to do with raw computing power and more to do with energy access, capital discipline, and how you build your infrastructure.

In an exclusive interview, HIVE Co-Founder and Executive Chairman Frank Holmes pointed to the company's expansion in Paraguay as a blueprint for where the company wants to be positioned long term. "Paraguay demonstrates how we want HIVE positioned going into 2026: as a disciplined, global operator converting renewable energy into high-value digital infrastructure rapidly and responsibly," Holmes explained.

Efficiency Over Size

That philosophy marks a real shift from earlier crypto cycles, when growth often meant racing to deploy as much hardware as possible. "In earlier cycles, scale often came before efficiency," Holmes said. "Today, efficiency comes first."

Instead of chasing capacity for its own sake, HIVE is focused on securing low-cost renewable power, allocating capital carefully, and building infrastructure that can handle multiple types of compute workloads. Holmes believes this approach creates operating leverage and "a flywheel effect that compounds growth" rather than delivering short-term gains that evaporate when Bitcoin (BTC) prices swing.

Why Energy Is The Moat

Nearly all of HIVE's operations run on hydropower, and Holmes made it clear that's by design, not coincidence. "Running on nearly 100% hydropower gives HIVE a first-mover advantage in sustainable digital infrastructure," he said.

That advantage positions the company as a credible partner for governments, utilities, and enterprise customers increasingly concerned with grid stability and responsible energy use. In other words, being green isn't just good PR. It opens doors.

Margins First, Capacity Second

Looking toward 2026, Holmes laid out a clear priority structure. "The priority is protecting margins through efficiency and discipline," he said. "Capacity only matters if it is profitable and resilient."

Success won't be measured by hash rate alone. Instead, it will come down to perception—being recognized as "a trusted, durable digital infrastructure company" known for "operational excellence, renewable energy leadership, compliance, and the ability to deliver secure compute at scale."

That mindset, Holmes argued, is what separates long-term winners from miners who are just chasing the next cycle.