Bitcoin mining companies Marathon Digital, Riot Platforms, and CleanSpark reported significant increases in their Bitcoin output and revenues in September, despite the sideways movement of the cryptocurrency’s price. The firms also expanded their hashrate capacity and balance sheets, indicating a strong growth potential for the industry.
Marathon Digital: Record Share of Bitcoin Miner Rewards
Marathon Digital, one of the largest Bitcoin mining firms in the world, produced a total of 1,242 BTC in September, a 16% increase from August and a massive 245% increase from September 2022. The huge spike in BTC production came from a 508% increase in the firm’s installed hashrate from 3.8 exahashes per second (EH/s) in September 2022 to 23.1 EH/s, according to Marathon’s September results.
The firm’s CEO Fred Thiel said that Marathon was pleased to reach its goal of 23 exahashes on an installed basis, and that it was now looking for new mining locations offering low-cost renewable energy. He also stated that Marathon had achieved a record monthly share of Bitcoin miner rewards at 4.3%, meaning that it mined more than 4% of all the Bitcoins generated in September.
Marathon’s balance sheet showed 13,726 unrestricted BTC and $101 million in unrestricted cash and cash equivalents on its balance sheet, totaling $471.2 million. The firm’s share price increased 3.29% to $7.54 on Oct. 4, according to Google Finance.
Riot Platforms: Strategic Power Strategy Pays Off
Riot Platforms, another leading Bitcoin mining company, increased its BTC production by 9% month-on-month, producing 362 BTC in September while “strategically curtailing mining operations”. The firm is in a long-term contract whereby it sells pre-purchased power to its utility provider at market-driven spot prices in exchange for power curtailment credits.
Riot Platforms CEO Jason Les said that the contract had continued to provide a strong revenue source for the firm, as it received $11 million in power credits and $2.5 million in demand response credits from participating in ERCOT’s ancillary services program. He also noted that Riot had increased its operational hashrate by 20% to 2.6 EH/s in September, and that it expected to reach 7.7 EH/s by the end of Q4 2023.
Riot Platforms reported that it had mined 2,457 BTC year-to-date in 2023, and that it held 3,534 BTC on its balance sheet as of Sept. 30. The firm’s share price rose by 3.25% to $6.32 on Oct. 4, according to Google Finance.
CleanSpark: Record Bitcoin Revenue and Gross Profit
CleanSpark, a diversified software and services company that also operates a Bitcoin mining division, reported a record Bitcoin revenue of $18.9 million and a record gross profit of $13.9 million for the fiscal year ended Sept. 30. The firm also increased its Bitcoin production by 18% month-on-month, mining 266 BTC in September.
CleanSpark’s CEO Zachary Bradford said that the firm had achieved its goal of becoming one of the lowest-cost Bitcoin miners in the industry, with an average cost of $3,474 per BTC mined in fiscal year 2023. He also stated that CleanSpark had grown its operational hashrate by over 400% since January, reaching over 740 petahashes per second (PH/s) as of Sept. 30.
CleanSpark disclosed that it had mined over 1,600 BTC since it began its mining operations in December 2020, and that it held over 500 BTC on its balance sheet as of Sept. 30. The firm’s share price increased by 4.61% to $5.44 on Oct. 4, according to Google Finance.
The impressive performance of these three Bitcoin mining firms shows that the industry is thriving despite the challenges posed by the regulatory uncertainty, environmental concerns, and market volatility. The firms have demonstrated their ability to increase their production efficiency, profitability, and competitiveness by leveraging their technological advantages, strategic partnerships, and innovative solutions.