Toronto-based Bitcoin mining company Bitfarms has been making significant strides in increasing its operational hash rate. By the end of July, the company’s hash rate had reached an impressive 11.1 EH/s, representing a remarkable 109% year-over-year increase. This growth is even more striking when considering the 7% rise in hash rate on a month-over-month basis. The company’s average operational hash rate for the month stood at 10.3 EH/s, up by an impressive 36% from the previous month of June.
Bitfarms also reported a substantial increase in the amount of Bitcoin generated in July. The company was able to mine 253 BTC during the month, marking a 34% rise from the previous month. However, when compared to the previous year, the figure was 33% lower. Despite this, Bitfarms managed to sell 142 BTC for $8.6 million, while the remaining 111 BTC contributed to increasing the company’s treasury holdings to 1,016 BTC, valued at around $67.2 million. On average, the company was able to earn 8.2 BTC daily, translating to approximately $542,000 per day based on the BTC price of $66,100 at the end of July.
Bitfarms’ Baie-Comeau facility in Quebec is currently undergoing an expansion to 22 MW, with the expected completion date set for September 1st of this year. The company is also making progress in Paraguay, with both the Paso Pe and Yguazu sites reporting positive advancements. At Paso Pe, all five warehouses and eight hydro containers are fully energized and actively hashing. CEO Ben Gagnon expressed confidence in the company’s ability to gain market share and increase the amount of Bitcoin mined month-over-month through the fleet upgrade program. Since the halving event in April, Bitfarms has seen a 62% increase in Bitcoin mined per month, showcasing operational expertise and improved efficiency.
Despite the overall positive developments, Bitfarms did face challenges with a batch of approximately 3,000 T21 miners, contributing to the hash rate still being below the company’s target of 12 EH/s. These miners, accounting for about 700 PH/s, experienced overheating issues even in cooler conditions, affecting their performance. However, Bitmain is working on replacing these malfunctioning units at their own expense, with new miners expected to be installed within three weeks. Bitfarms is actively collaborating with Bitmain to address these manufacturing issues and prevent similar problems in future batches. The company also highlighted the expected improvements in performance through further site optimizations and software enhancements in the coming months.
Bitfarms has demonstrated impressive growth in its operational hash rate and Bitcoin generation, despite facing challenges with a batch of malfunctioning miners. The company’s proactive approach to addressing these issues and its commitment to enhancing performance through various optimizations bode well for its future growth and value creation for shareholders. With ongoing expansions and improvements in place, Bitfarms is well-positioned to further accelerate its growth and solidify its position in the competitive Bitcoin mining industry.
Leave a Reply