Bitcoin Price Crash: They Lose $366 Million – The Hard Life of a BTC Miner

Success and Failure Alternate Fast in Crypto – With the accelerated fall in the price of Bitcoin (BTC) since last May, a lot of BTC miners had to sell their precious production, at least in part. But even with these cash inflows, some giants in the sector are looking gloomy. This is the case of Riot Blockchainwhich strongly tipped in the red during the second quarter of 2022.

Mining Bitcoin was much less profitable in the 2nd quarter

Riot Blockchain is a crypto-mining company that was very successful until recently. But it was without counting on the Terra earthquake (LUNA) and its many replicas. the bitcoin price has fallen sharply since, and all crypto miners have suffered.

As The Block reports in particular, we recently learned of Riot’s results for the months of April, May and June 2022. And to say that they are not famous is an understatement. Already the turnover : it is down 8.7% compared to the 1st quarter, with 72.9 million CA dollars.

And his losses are quite colossal: 366.3 million dollars in the second quarter. These are largely due to the fall in the crypto market, since the depreciation of its bitcoin reserves account for $99.8 million in these losses.

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Slight drop in production, offset by the supply of electricity

Riot’s bitcoin production has also slightly lowered compared to the first three months of the year. She settled at 1,395 BTC mined in total – 33 million dollars at current price -, i.e. a withdrawal of 0.7%.

Riot has however supplied with electricity to the Texas power grid, which was already beginning to struggle. It paid off 5.7 million dollars in electricity credits to the crypto-mining company.

The company has already won $9.5 million in energy credits for the month of July 2022 alone, following the severe heat wave and the saturation of the network that the State of Texas suffered.

Between this resale of electricity, and the fact that crypto-miners see their incomes begin to grow again (with BTC’s recent rebound), will Riot Blockchain pull through? better in the 3rd trimester? In any case, the company puts all the chances on its side, thanks to its solid electrical self-production and its very many mining machines.

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