Quantum Blockchain Technologies Plc – Update on Bitcoin R&D

November 15, 2022

Quantum Blockchain Technologies Plc
(“QBT” or “Company”)

R&D Update

The Quantum Blockchain Technologies (AIM: QBT ) board is pleased to update the market with the latest advances by its research and development (“R&D”) team working on proprietary methods to create cheaper, faster and more energy-efficient Bitcoin. (“BTC”) miners.


  • Preliminary results of Machine Learning Method “B” show a 30% improvement compared to commercially available ASIC chip-based miners,

  • Identified regularities in the SHA-256 algorithm indicate progress toward a potential patent application

  • Exploring the potential of a third-party licensing strategy to leverage early revenues

  • The appointment of Dr. Rita Pizzi as a senior researcher

Machine Learning and AI

Initial results from two of the Company’s three Machine Learning (ML) teams related to the development of the Company’s first two knowledge-based algorithms (described in the Company’s RNS dated May 23, 2022 (such as Method “A” and Method “B”) refers to a prototype of a special software accelerator for BTC mining, which is currently undergoing intensive testing.

The computational requirements to validate both Method A and Method B by testing at the current difficulty level of BTC mining are very difficult. The company has not ruled out the use of a supercomputer for such tests, but in the short term a more pragmatic approach is based on the use of ASIC miners available on the current market. The company has already acquired a number of ASIC miners so that the management software in the ASIC miners will be replaced with QBT’s own proprietary software based on Method B.

Additional miners will be obtained to test the performance of both Method A and Method B at the current mining difficulty.

Interesting preliminary laboratory results have been obtained to date with Method B based on two different combined ML methods, showing a statistical improvement of up to 30% compared to commercially available ASIC chip-based BTC miners. That is, regardless of the performance of the ASIC chip used by the miner, the Company’s proprietary software can statistically still increase mining speed by up to 30% without affecting the miner’s power consumption.

Provided the performance of Method “A” and/or Method “B” algorithms is confirmed, the goal is to deploy them on existing commercial miners to improve their performance, as mentioned above, replacing the local management software with QBT’s own control. Software. Based on the available test data, we will see an immediate improvement in the overall performance of the mining rig without the need for additional equipment investment.

To ensure the success of this approach, the Company is also working on modifying the management software of the miner’s operating system.

Quantum Computing

While the company believes that its approach to Quantum Computing has great potential, it also believes that it will be several years before quantum computers powerful enough to take full advantage of the company’s approach are available.

Meanwhile, QBT continues to improve the quantum algorithm it developed.


The company continues to work closely with the cryptography specialist who has been consulting for QBT for 18 months. Our recent findings for local improvements to SHA-256 computation are currently accumulating to reach critical mass. May 23, 2022 RNS) may have the potential to justify the filing of a new patent application specifically related to a proprietary ASIC application.


The FPGA/ASIC I/O interface and intra-ASIC communication protocols are being developed while waiting for the consolidated results to be validated by both the cryptographic expert and ML R&D teams.

At the same time, several performance evaluations of various architectures that can be included in the application of Method “B” ASIC design have now been preliminarily evaluated, and the result is expected to prove the efficiency of this hardware implementation method.

IT infrastructure

Over the past few months, the IT R&D platform has been upgraded to nearly 100,000 GPU cores. In addition, the first set of 100TH/s ASIC miners have been purchased, on which ML Method A and Method B mining software will be installed soon.

As mentioned above, more ASIC miners will be purchased shortly to accelerate the testing of Method “A” and Method “B”.

Senior Researcher

QBT recently Dr. Rita Pizzi, as its Chief Research Officer. Dr. Pizzi is a former Senior Research Fellow and Professor of Artificial Intelligence and Data Analytics in the Department of Computer Science. Milan University (http://pizzi.di.unimi.it/CV.html). Dr. Pizzi will be responsible for the coordination of several research groups, while maintaining a close operational relationship with them Francesco Gardin, Chairman and CEO of QBT. Dr. Pizzi will not be joining the board at this time.

Dr. Pizzi has been with the Company for approximately 18 months.

R&D Tax Relief

The Company received £109,000 from HMRC, net of adviser commissions and fees, as a contribution to the Company’s R&D expenditure for 2021 as part of HMRC’s Research and Development Tax Exemption scheme. A similar application will be made in early 2023 for 2022 R&D expenditure.

Francesco GardinGeneral Director and Executive Chairman of QBT commented: HoweverSt The company is still considering direct mining, a faster and less capital-intensive approach does Using the mining revenue with an existing BTC miner who will be allowed to adopt the Company’s Method under the license B control program. The company currently exploration this route.

“We are engaged in extremely demanding R&D efforts to achieve competitive results. To achieve these goals, the amount of data processed is large, searching for and analyzing patterns in large data spaces. Hypothesis testing of identified regularities does extremely demanding, hence the discrepancy in the time of confirmation of results between discovery and its confirmation.

“I am therefore delighted that despite the long validation period of this approach, such patterns and correlations have been identified. Additionally, the ability to control commercial ASIC mining chips with our Machine Learning methods can provide a tactical shortcut to revenue generation. will allow us to continue and work on our proprietary ASIC chip design Qquantum Ccalculation algorithm, waiting for its existence qquantum ccomputers with enough qubits to run our software”.

For more information, contact:

Quantum Blockchain Technologies Plc
Francesco GardinCEO & Executive Chairman +39 335 296573

SP Angel Corporate Finance (Candidate Consultant and Broker)
Jeff Keating +44 (0)20 3470 0470
Kasia Brzozowska

Leander (Financial PR)
Christian Taylor-Wilkinson +44 (0) 7795 168 157

About Quantum Blockchain Technologies Plc

QBT (AIM: QBT) is an AIM-listed investment company with a recent strategic focus on technology-related investments, with a particular focus on the Quantum Computing, Blockchain, Cryptocurrencies and Artificial Intelligence sectors. The company has embarked on an aggressive R&D and investment program in the dynamic world of Blockchain Technology, which includes cryptocurrency mining and other advanced blockchain applications.

Glossary of terms

ASIC: An Application-Specific Integrated Circuit is an integrated circuit chip customized for a specific use, not intended for general-purpose use. ASIC chips are typically made using metal-oxide-semiconductor (MOS) technology, such as MOS integrated circuit chips.

FPGA: A field-programmable gate array is an integrated circuit designed to be configured by the customer or designer after manufacture—hence the term “field-programmable.” The FPGA configuration is generally defined using a hardware description language (HDL) similar to that used for an application-specific integrated circuit (ASIC).

GPU: A graphics processing unit (GPU) is a computer chip that displays graphics and images by performing fast mathematical calculations.

Hash: A hash is a mathematical function that converts an arbitrary-length input into a fixed-length encrypted output.

SHA-256: Secure Hashing Algorithm (SHA)-256 is the hash function and mining algorithm of the Bitcoin protocol, referring to the cryptographic hash function that produces a 256-bit long value.

Qubit: A classical bit can be in two states, either zero or one. However, a quantum bit or qubit can be in a kind of zero state and a state at the same time. This state is called a superposition of (quantum) states. Qubits have very special properties: for example, qubits cannot be copied

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