Bitfarms, a Bitcoin miner, reported an increase in Bitcoin production for June after upgrading its overall capacity. The company’s BTC production rose by 21% month-on-month to 189 BTC, up from 156 BTC in May. Although production was impacted by curtailment in Argentina and downtime for miner upgrades in Quebec, a 0.8% decrease in network difficulty helped offset these challenges. Bitfarms sold 71% of the BTC produced in June, netting $8.8 million as part of its regular Treasury management process. The company’s Treasury currently holds 905 BTC, valued at $55.2 million, with 1,557 BTC produced year-to-date.
The company also revealed a 39% increase in hashrate to 10.4 EH/s by the end of June. Ben Gagnon, Bitfarms’ Chief Mining Officer, attributed this growth to upgrades in factories aimed at expanding hashrate and improving energy efficiency. With an installed hashrate now at 11.4 EH/s and 10 EH/s operational, Bitfarms achieved a 7.4% month-on-month and 36% year-on-year growth in energy efficiency. Gagnon reported that the company replaced 39,000 miners with new ones in June as part of fleet upgrades and new facility constructions, demonstrating continued progress in this area.
In addition to its operational improvements, Bitfarms highlighted its strategic expansion deal in the US. The company secured a 120 MW site in Sharon, Pennsylvania, for High Performance Computing (HPC) and Artificial Intelligence (AI) purposes. This move aligns with Bitfarms’ efforts to expand its presence in key markets and capitalize on emerging technologies beyond Bitcoin mining. The company’s focus on growth and diversification signals its commitment to long-term sustainability and competitiveness in the industry.
The ongoing takeover battle between Bitfarms and its competitor, Riot Platforms, added another layer of complexity to the company’s operations in June. Riot, holding about 15% of Bitfarms, called for a special shareholder meeting to nominate three independent directors to Bitfarms’ board as part of its takeover strategy. In response, Bitfarms appointed Fanny Philip as an independent board member, increasing the board to five directors, four of whom are independent. This development underscores Bitfarms’ commitment to corporate governance and may impact future decisions regarding the company’s direction and leadership.
Overall, Bitfarms’ June performance reflects its resilience and growth trajectory in the volatile cryptocurrency mining sector. Despite challenges such as curtailment and downtime, the company managed to increase BTC production, enhance hashrate, improve energy efficiency, and secure strategic partnerships for expansion. By maintaining a strong Treasury position and strategic focus on market opportunities, Bitfarms is positioning itself for continued success and leadership in the evolving digital currency landscape. The ongoing takeover attempt by Riot Platforms adds an element of uncertainty, but Bitfarms’ response and strategic moves demonstrate its ability to adapt and thrive in a competitive environment.
