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HomeCryptocurrencyCore Scientific Sold More Bitcoin Than It Mined for Second Consecutive Month

Core Scientific Sold More Bitcoin Than It Mined for Second Consecutive Month

Publicly traded bitcoin miner Core Scientific experienced another net loss in its bitcoin holdings last month.

The company said it sold 1,975 coins at an average of $22,000 per bitcoin in July, earning $44 million. publication On Friday. Meanwhile, only 1,221 coins were mined.

This leaves Core Scientific with only 1,205 bitcoins and $83 million in cash on its balance sheet as of July 31.

“Proceeds from the July bitcoin sale were primarily used to pay for capital expenditures related to increasing our data center capacity,” the company explained.The debt to the mining server maker is also paid off bitmain Order 100,000 ASIC Servers in 2021 – specialized machines used to competitively mine Bitcoin.

ASIC-related payments are less than $10 million.

The sale further reduced Core Scientific’s total bitcoin holdings, but is a relatively small hit compared to the previous month.Office sold As many as 7,202 coins worth $165 million were issued in June to “increase liquidity” as the price of Bitcoin fell well below $30,000. Meanwhile, only 1,106 coins were produced.

A bear market has hit many crypto mining companies Liquidate your Bitcoin holdings.

Core Scientific also continues to expand its business. The company added 14,000 more of his ASIC servers in July, increasing hashrate capacity to 19.3 exahash per second (EH/s). This is the largest capacity of any publicly traded North American company. According to Blockchain.com, this equates to 19.3 quintillion hashes per second, roughly one tenth of Bitcoin’s total hash rate. data.

About 44% of the company’s total hash rate was generated through a colocation service where customers rent ASICs at Core Scientific’s data centers. The company signed a colocation deal with his customer in July for $50 million in annual sales.

Core Scientific is one of the industrial-scale miners to suspend operations in Texas to protect the power grid during the overwhelming heatwave earlier last month. The company independently cut his 8,157 megawatt hours.

Some companies, like Riot Blockchain, are financially compensated For reduction measures as part of the Texas Demand Response Program available to Bitcoin miners. Earned $9.5 million. This is worth more than all of the bitcoins I self-mined in July. Core Scientific makes no mention of receiving similar compensation.

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