South Korean technology giant Samsung stated that the company is working on a 3-nanometer chip that can be used in Bitcoin mining when it announced the first quarter results of fiscal 2022.

According to The Elec's report on June 29, Samsung's 3nm chip will be fully compatible with mining devices made up of certain integrated circuits (ASICs) known to be effective in Bitcoin mining, and trials are underway, according to sources. It is emphasized that Samsung's ability to produce a 3nm chip will solve some of the problematic points of Bitcoin mining, such as reducing power consumption by up to 30 percent. Additionally, the chip can increase mining speed by about 15 percent, along with a 33 percent higher transistor density.

Samsung

Samsung has already received orders from its first customer, Chinese ASIC company PanSemi. Sources also state that US-based Qualcomm has made a preliminary request for the 3nm chip. Qualcomm, Samsung's largest customer, had previously placed an order for a 4nm chip, but the order was canceled due to the disruptions the South Korean company encountered in production. The companies also reportedly agreed that Samsung will make its 3nm manufacturing process available whenever Qualcomm needs it.

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Samsung's 3nm chip initiative is based on the company's Gate All Around (GAAFET) technology, which is different from the traditional FinFET process used to manufacture 7nm and 5nm chips. In general, GAAFET reduces the silicon size to provide better performance. The technology giant is expected to start mass production rapidly after chip trials.

The possible introduction of Samsung's 3nm chip could support Bitcoin's ASIC industry and the overall SHA256 hash rate. The hash rate of the Bitcoin network has been rising rapidly in recent months, despite the massive collapse in the cryptocurrency markets. According to current data, the Bitcoin hash rate, which was at the level of 217.63 EH/s at the time of writing, broke a record with 292 EH/s on June 8.

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With Samsung's entry into Bitcoin mining, the industry will have reached significant competition among leading tech companies to launch innovative products. For example, US chip maker Intel recently announced the launch of a new cryptocurrency mining chip called Blockscale. According to the company, the chip offers greater energy efficiency in the SHA-256 hash.