Block Introduces Modular Bitcoin Mining System

Block Inc. introduces Proto Rig, a modular ASIC system extending mining rig lifespan to 10 years and cutting upgrade costs by 20%.

Block launches Proto Rig and Proto Fleet

Bitcoin-focused fintech Block Inc. has announced a new mining system designed to reduce capital expenses and extend hardware lifespan. Unlike the standard 3–5-year cycle, the new modular Proto Rig is built to last over a decade.

Miners can replace individual hashboards as technology advances, saving up to 20% per upgrade cycle. Block also introduced Proto Fleet, an open-source platform for managing large-scale mining farms.

Industry benefits and reaction

In April 2024, Block developed a 3nm Bitcoin mining chip and signed a supply deal with Core Scientific. The project has received positive industry feedback. Komodo Platform CTO Kadan Stadelmann said the modular, open-source design aligns with Bitcoin’s decentralized ethos and democratizes mining.

Traditional rigs become obsolete in 3–5 years, forcing miners to pay monopolistic manufacturers for upgrades. Block’s new system reduces costs and increases rack power density.

AI integration and market outlook

With AI demand rising, mining companies are repurposing infrastructure for high-performance computing. Core Scientific, for example, rebounded from its 2022 bankruptcy through a $3.5B deal with CoreWeave, later being acquired for $9B. Hive Digital has also expanded into HPC and AI while maintaining its Bitcoin mining operations.