By
Tolu Ajiboye
April 23rd, 2024
CleanSpark joins the list of Bitcoin miners to liquidate their BTC to cover costs. The company continues to use the proceeds of sale to buy more mining rigs and expand further.
Bitcoin miners across the world have been struggling to keep up their operations runnings maid massive BTC price correction. Most of the Bitcoin miners have been liquidating a huge portion of their BTC holdings to cover costs. Over the last month, giants like Bitfarms and Core Scientific have offloaded a huge majority of their BTC holdings. Another Bitcoin miner CleanSpark has to undertake a similar selling decision. The company increased its June production by 9% to 339 BTC. However, it had to sell all the mined Bitcoins. ClearSpark sold 328 Bitcoin at an average price of $25,644 per BTC thereby raising $8.4 million from the sale.
Bitcoin Miner CleanSpark to Expand Its Activity
Unlike other Bitcoin mining players, CleanSpark doesn’t have a rigorous HODLing strategy. Instead, the company chooses to sell some of its mined Bitcoins every month. As of June 30, CleanSpark holds a total of 561 BTC.
During his first-quarter earnings call in May 2022, CleanSpark CEO Zach Bradford said: “We won’t blindly accumulate bitcoin at the cost of diluting our shareholders and taking on unnecessary debt”.
Even in this market turmoil, CleanSpark continues to expand its operations. Last month in June 2022, the company acquired 1,800 Bitcoin miners, Antminer S19 XP units. The recent purchase will add over 0.252 exahash per second (EH/s) to CleanSpark’s Bitcoin mining capacity. Currently, CleanSpark operates a fleet of 28,500 bitcoin miners with its hash rate exceeding 2.8 EH/s.
“We were able to secure the contract at an exceptional price because of our strategic relationships and the unique circumstances that current market conditions have created,” said Bradford.
Recently, CleanSpark also exited its SwithGear business. “This move strengthens our balance sheet and frees up working and human capital for our high-value, bitcoin mining business,” said Bradford.
Hut8 Continues to HODL Its Massive Bitcoin Pile
While several Bitcoin miners have been liquidating their positions, mining giant Hut 8 continues to HODL its BTC stockpile of 7,406. during the month of June 2022, the company added 328 Bitcoins to its kitty. Hut8 CEO Jamie Leverton, said:
“The team had a successful month in North Bay and will continue to scale up over the next few weeks. We are confident that our HODL strategy, coupled with the uncorrelated recurring revenue from our high performance computing business, will allow us to continue to successfully navigate the current market.”
Hut8 said that it could afford to hold on to its BTC, as its other business vertical, unrelated to Bitcoin and Bitcoin mining, bring steady monthly recurring revenue and remains on track to grow up to 18% by the year-end.