Compared to Q2 of last year, the number of Bitcoin mined during the most recent quarter was doubled, according to CleanSpark, a U.S.-based Bitcoin mining startup. However, due primarily to low Bitcoin prices, the company’s revenue growth only grew by 14%.
Gary A. Vecchiarelli, CFO of CleanSpark, stated during the most recent earnings call that this quarter’s revenue per bitcoin was roughly $22,700, compared to nearly $41,000 last year. Vecchiarelli assured investors of the company’s financial stability despite this by saying that its enhanced hash rate places it “well positioned to take advantage of even the slightest increase in bitcoin prices.”
Getting Ready for the Upcoming Halving Event
The block rewards for miners will be reduced from 6.25 to 3.125 bitcoin at the time of the halving, which is anticipated to take place in April of next year. According to todayq news, “Based on the ten minute-average of block time interval, the Bitcoin halving can occur around April 2024 to May 2024.” However, “With the current trend of block time intervals, it can be expected that the Bitcoin halving can take place around December 19th, 2023.”
In order to be ready, CleanSpark is expanding its Georgia-based facilities with 65,000 additional mining computers, maintaining low energy costs, and increasing its Bitcoin holdings. In the upcoming months, the business will also add 20,000 more Bitmain s19 jPro+ miners to its Washington, Georgia, plant, and by the end of the year, it will add 45,000 more Bitmain XP miners to a different site in Sandersville, Georgia. Bradford estimates that the additional miners will increase the company’s overall hash rate to 15.9 EH/s.
The Sustainability Focus of CleanSpark
CleanSpark, which is primarily fueled by a renewable energy mix, is likewise working to “leave the planet better than we found it.” The energy mix accessible at some locations, however, is outside of the company’s control. In order to offset part of the fossil fuel power utilized in its facilities, CleanSpark purchases “renewable energy credits” through initiatives like “Georgia’s Simple Solar.”
Although energy credit systems have come under fire for not actually cutting back on the usage of fossil fuels, CleanSpark’s dedication to sustainability is admirable. The company’s emphasis on sustainability and efficiency will probably have a big impact on its capacity to profit from the subsequent halving occurrence.
CleanSpark is in a good position to profit from even a small increase in Bitcoin prices thanks to its strong financial position and improved hash rate. The company is concentrating on expanding its fleet of mining computers and keeping low energy costs while raising its Bitcoin holdings in anticipation of the impending halving event. The dedication to sustainability demonstrated by CleanSpark is likewise admirable, despite concerns about the efficacy of energy credit schemes. Overall, CleanSpark is well-positioned for success in the constantly evolving Bitcoin mining industry thanks to its strategic focus on efficiency, sustainability, and readiness.