Hut 8 Mining Corp., a Canadian Bitcoin (BTC), miner, added to its huge BTC reserves in July. The firm’s long-term “HODL” strategy was maintained in the face market volatility.
At an average production rate 10.61 BTC/day, the company from Alberta generated 330 bitcoin in July. This brought its total reserves to 7,736 BTC. The company revealed Friday that its monthly production rate was equivalent in value to 113.01 BTC/exahash.
According to industry data, Hut 8 is one of the largest public holders Bitcoin. It trades on the Nasdaq, Toronto stock exchanges.
Hut 8 deposited all its self-mined Bitcoin in custody as part of its ongoing HODL Strategy. This is contrary to the industry trend of miners selling a portion of their reserves during bear markets. Core Scientific, a Texas miner, sold 7,202 BTC for $23,000 in June to pay servers and settle its debts. After increasing its mining output by 10%, the company was able to recover 1,221 BTC in the next month.
Argo Blockchain, a mining company, reduced its Bitcoin holdings by 887 BTC in July as it settled a loan agreement with Galaxy Digital. This was to finance its business. Riot Blockchain also reduced its Bitcoin holdings in June for the third consecutive month to raise capital.
Related: Antminer XP was dropped to help swing cryptocurrency miners back into profit
Bitcoin mining was a very lucrative business in 2021. The average revenue per BTC mined was four times that of the previous year. Underwater miners were forced to sell their Bitcoins in order to survive the plunge in Bitcoin prices.
The performance of Bitcoin has been mirrored by Hut 8 stock (HUT), over the past one year. Source: TradingView.
HUT 8 shares rose 3.5% to $2.38 on Friday. The stock has fallen nearly 70% year to date and almost 80% since its peak on Nov. 8, 2021 when Bitcoin was trading at $70,000,
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