Despite the 44% decline in bitcoin mining profitability (BTC) in the last year, some mining companies have continued to build and increase their production, according to recent announcements.
On June 1, the US mining company CleanSpark advertisement that it had purchased 12,500 new Antminer S19 XP units for USD 40.5 million. The trade came out at $23 per terahash per second (TH/s), a price lower than the market average.
Hot off the press! More miners have been purchased by $CLSK for lower than the current average market price. Approximately 12,500 Antminer S19 XP units were bought for $40.5 million – or $23 per terahash.
The units have a power-efficiency rating of 21.5 joules per terahash… pic.twitter.com/TKRxhWXlzx
— CleanSpark Inc. (@CleanSpark_Inc) June 1, 2023
Newsflash: $CLSK has acquired more miners for less than the current mid-market price. Approximately 12,500 Antminer S19 XP units have been purchased for USD 40.5 million, that is, USD 23 per terahash. The units have an energy efficiency of 21.5 joules per terahash…
The news comes when Bitcoin mining difficulty hit an all-time high of over 50 billion on June 1, putting even more pressure on the miners. The network hash rate was also close to its peak level: at 395 EH/s on May 30.
CleanSpark’s purchase agreement called for the manufacturer to ship 6,000 machines in June and the rest in August.
The Antminer S19 XP drives have a hash rate of 141 TH/s, and the combined purchase provides an additional total hash rate of 1.76 exahashes per second to its current 6.7 EH/s. Zach Bradford, CEO of CleanSpark, has stated:
“This purchase ensures that we are prepared to meet and potentially exceed our goal of 16 EH/s by the end of the year.”
CleanSpark’s mining farms are located in Georgia. According to its website, the company has 67,700 mining machines in operation and has mined 2,395 BTC so far this year.
The company has continued its expansion despite declining bitcoin mining profitability, which has dipped to $0.071 per TH/s per day, down 44% over the past 12 months and down 82% since the peak of the cryptomarket at the end of 2021, according to Hashrate Index.
In February, CleanSpark purchased 20,000 brand new Antminer S19j Pro+ units and in April added 45,000 S19 XP ASICs to its fleet.
In other recent company updates, bitfarms advertisement which had mined 459 BTC in May, increasing production by 6.5% year-on-year. “A 47% year-over-year increase in our hash rate was offset by a 65% increase in network difficulty over the same period,” the mining director stated. Ben Gagnon.
Cipher Mining advertisement a record production in May: he mined 493 BTC. The increases were due to the spike in transaction fees during the hype over the BRC-20 memecoin minting, which reached its peak in early May.
May 31, Compass Mining signed a agreement with hosting provider Arthur Mining to open a new facility in Ohio.
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