Delivery of Bitcoin Mining Rig

Quantum Blockchain Technologies plc (AIM: QBT), the AIM-listed investment company focused principally on a research, development and investment programme within blockchain technology is pleased to

confirm that the first Bitcoin mining rig has been shipped by one of the three ASIC manufacturers with whom the Company is seeking to partner.

Initial testing of the nominal specifications by the Company's US-based consultants has also been completed; therefore, the delivery of the rig to QBT's laboratory at Milan University is currently being arranged and the rig is expected to arrive in Italy within the next week. In parallel, source code and technical documentation have been made available to QBT by the ASIC manufacturer.

QBT's R&D team has begun to analyse the rig's unique software code and the ASIC's architecture in order to implement the porting of the software version of Method C AI Oracle onto the mining rig's operating system as soon as possible.

Unlike the hardware version of the Method C AI Oracle, the software version has the advantage of being able to perform its task on the rig's control board, rather than being embedded into the ASIC, saving more than one year of collaborative work. Further, the software version of the AI Oracle is able to assess the entire `job' received by the mining pool and its allowed variants (also called the meta-header), rather than individually assessing single bits of various key regions of the header, hence the ability to run the software AI Oracle on the control Board, rather than on the ASIC.

In order to expedite the development, the ASIC manufacturer has provided QBT with an MDK (Mining Development Kit), where the control of the hashing board connected to a computer server takes place on the server itself, rather than the mining rig, making it

easier to port the AI Oracle and to test it in the initial phase. This method also provides greater flexibility to a standard operating system on a general purpose computer server, compared to the limited functionalities of a dedicated operating system of a mining rig.

The porting and testing of the software's AI Oracle on mining rigs is a three-step process:

Data collection of the ASIC Hashing behavior, to train the AI Oracle

Integration of the AI Oracle with the existing mining rig's software environment

Testing and fine tuning of AI Oracle's performance during live mining

QBT has allocated a team of seven experts to the project in order to execute the live testing and provide the results (which are anticipated to show an increased quality hashing performance of the mining rig) to the manufacturer as quickly as possible.

Francesco Gardin, CEO and Executive Chairman of QBT, commented

, "Although it has taken a long time to reach this point, we are delighted that we have received the first Bitcoin mining rig and MDK with which to prove the enhanced mining efficiency of our AI Oracle software. To give us the best chance of success, we are focusing on testing the rigs of one manufacturer at a time, in order to shorten this current phase in the commercialisation of our products.

This key step of the process will hopefully allow the Company to finally deploy its AI technology on one of the most advanced mining rigs currently on the market. A successful outcome in our Milan lab, will, we believe, be the pre-condition to entering into contractual discussions with the ASIC manufacturer."