Riot Blockchain Jumps 406% Due to Increase in Mining Power
On Thursday, Riot Blockchain, a Nasdaq-listed mining firm, reported its Bitcoin production last month. The firm’s numbers jumped more than 400% year-on-year due to the increase in mining power.
In June 2021, Riot produced 243 BTC which is 406% higher than its June 2020 48 BTC production. Also, Riot produced a total of 1,167 BTC year-to-date through June 2021. It has increased an approximately 130% compared to last year’s 508 BTC.
Looks like the crackdown in China is helping companies like Riot grow their business. The decrease of hash power securing the network created a profit opportunity for some companies.
The recent hard adjustment, one of the biggest drops in Bitcoin history, seems to be creating unique opportunities to get into bitcoin mining. With that said, Riot aims to continue increasing its mining resources after having 43,500 miners from Bitmain.
Consequently, Riot Blockchain has acquired Whinstone, one of the biggest Bitcoin mining operation data centers located in Texas. This shows that Riot is already expanding mining operations, expanding the Whinstone facility to 750 megawatts (‘MW’) from 300MW.
The situation may continue for some time until huge Chinese miners manage to relocate. Until now, several huge Bitcoin (BTC) miners are leaving China to escape a state crackdown on all BTC mining activities.
Based on Hashrate Index, between 30% and 40% of the hashrate will travel to the U.S. According to reports, it looks like it will take several months to start operating again for these miners again.
Lastly, Riot plans to continue sharing its monthly operational updates and unaudited productions reports through the end of 2021. As of writing, BTC is trading at $33,743 while RIOT trades at $32.83 in Nasdaq.