Mining Data | Listed mining companies sell coins to survive, sales exceed mining output, stock prices drop by 80%

In the current market downturn, the stock prices of listed mining companies have fallen. The scene of last year's aggressive financing and mining machine purchases to increase computing power share is no longer visible. Some mining companies have begun selling mining output to cover operating expenses.

Mining Difficulty

The mining difficulty of Bitcoin reached a historical high of 31.25T in May, followed by events like the Terra crash and liquidity crises at various CeFi platforms such as Celsius. As a result, hash rate began to decline, and Bitcoin dropped by 50% from its previous level of $40,000.

Under unfavorable market conditions, the stock prices of listed mining companies have fallen. The scene of large-scale financing and machine procurement to increase hash rate dominance, as seen last year, has disappeared. Some mining companies have started selling mining output to cover operational expenses.

In June, the amount of Bitcoin sold by some mining companies even exceeded the total amount of Bitcoin mined that month.

Marathon Digital Holdings

• Q2 Mining Output: 707 BTC, up 8% from Q2 2021
• Sold 637 BTC in June at an average price of $24,500
• Holdings of 10,055 BTC as of 6/30

Marathon emphasized that it has not sold any Bitcoin since October 2020 but may consider selling a portion of its mining output monthly to cover daily operational costs as needed.

Their stock price has dropped by 79% since the beginning of this year.

Argo Blockchain

According to Argo's announcement, the relevant data is as follows:

• Mining output in May: 124 BTC
• Mining output in June: 179 BTC
• Sold 637 BTC in June at an average price of $24,500
• Holdings of 1,953 BTC as of 6/30

This means that the Bitcoin mined by Argo in June accounted for only about 28.1% of the Bitcoin they sold. Argo's stock price has dropped by 69% since the beginning of this year.

However, Argo still plans to deploy more hash power, with the "S19J Pro" mining machines purchased in June expected to be online on schedule, aiming to deploy 20,000 mining machines by October.

Bitfarms: No Longer Accumulating BTC

• Sold 3,000 BTC in June at an average price of around $20,666
• Holdings of 3,349 BTC as of 6/21

According to a press release, Bitfarms adjusted its debt balance due to market volatility, selling 3,000 BTC for $62 million to partially repay a $100 million loan from Galaxy Digital.

Chief Financial Officer Jeff Lucas stated that while the company remains bullish on Bitcoin's long-term appreciation, they have adjusted their "HODL" strategy to no longer accumulate BTC in order to sustain business expansion.

Bitfarms' stock price has dropped by 79% since the beginning of this year.

Core Scientific

• Mining output in June: 1,106 BTC, down 2.8% from May
• Sold 7,202 BTC in June at an average price of $23,000
• Holdings of 8,058 BTC as of the end of May

According to an announcement, the sale of 7,202 BTC brought Core Scientific $167 million in cash, which will be used for equipment purchases, data center expansion, loan repayments, etc.

Of particular note is that the amount of Bitcoin sold represents a very high percentage for Core Scientific, selling nearly 90% of its BTC reserves. Their stock price has dropped by 86% since the beginning of this year.

Other Mining Companies

Other mining companies have issued individual statements:

Hive Blockchain Code HIVE｜YTD -77.29%: Plans to sell BTC output for continued expansion while striving to maintain BTC reserves, believing that BTC and ETH will prosper again after deleveraging.

Hut 8 HUT｜-82.79%: Holds 7,406 BTC as of 6/30 and continues to focus on the "HODL" strategy.

Iris Energy IREN｜-80.86%: Settles BTC mining rewards daily since 2019 and will maintain its current strategy.

Riot Blockchain RIOT｜-80.12%: Produced 421 BTC in June, sold 300 BTC, and held 6,654 BTC as of 6/30.

Compass Mining: Experiencing rapid expansion, plans to reduce staff by 15%.