CleanSpark, a leading Bitcoin mining company, made significant strides in June by increasing its bitcoin production and achieving a major hashrate milestone.
The Nevada-based firm mined 445 bitcoin in June, marking a 6.7% increase from the previous month. This boost in production is largely due to the company’s strategic expansion efforts in Georgia, where it recently acquired five new mining facilities.
These acquisitions played a pivotal role in helping CleanSpark surpass its mid-year hashrate target of 20 exahashes per second (EH/s).
The company’s CEO, Zach Bradford, expressed his excitement over the company’s recent achievements, stating:
“Surpassing 20 EH/s in operational hashrate is more than double our hashrate from December. While our peers are exploring other avenues of income, we’re laser-focused on delivering results and increasing our Bitcoin mining hashrate and associated revenues.”
The company’s current hashrate stands at 20.4 EH/s, which is a significant increase from its December 2023 rate.
CleanSpark’s impressive performance has positioned it as the third-largest Bitcoin miner by hashrate, trailing only Marathon Digital and Core Scientific, which boast hashrates of 29.9 EH/s and 20.4 EH/s respectively.
The Georgia expansion has been a game-changer for the mining company.
The new sites added 60 megawatts (MW) of infrastructure, immediately boosting the company’s hashrate by 1.7 EH/s. Once fully operational in July, these sites are expected to contribute an additional 2 EH/s, further strengthening mining capabilities.
Additionally, the company is developing a new Dalton campus, which includes 15 MW of infrastructure at four independent data centers.
This project is expected to operate at 2.4 EH/s and is to be completed by September. The expansion efforts are part of CleanSpark’s broader strategy to reach a hashrate of 50 EH/s, a goal that Bradford is optimistic about.
Despite the positive news regarding bitcoin production and hashrate milestones, CleanSpark’s stock experienced a decline of over 5.5%, closing at $16.93 on July 2.
However, the company’s stock performance has been robust overall, with a 55.6% increase year-to-date and a 247.6% increase over the past 12 months. Analysts remain bullish on CleanSpark’s stock, reflecting confidence in the company’s long-term growth prospects.
CleanSpark’s June performance was not just about hashrate achievements. The company reported an average daily bitcoin output of 14.83 BTC, with a one-day high of 22.41 BTC.
Throughout 2024, CleanSpark has mined a total of 3,614 BTC, bringing its total bitcoin holdings to 6,591 BTC as of June 30. These holdings are valued at over $4 billion at current market prices.
The company sold only 8.06 BTC in June at an average price of approximately $67,514 per bitcoin. This conservative approach to selling bitcoin aligns with CleanSpark’s strategy of holding a significant portion of its mined bitcoin to potentially benefit from future price increases.
In addition to its operational successes, CleanSpark has been active on the acquisition front. In June, the company announced a $155 million merger with GRIID Infrastructure, another Bitcoin mining firm.
This deal included the acquisition of all issued and outstanding common stock of GRIID and the assumption of GRIID’s debts. The merger also provided CleanSpark with an additional 20 MW of power, further enhancing its operational capacity.
The acquisition of GRIID is expected to bolster CleanSpark’s base and operating capacity as it continues to expand.
CleanSpark’s focus on increasing its mining hashrate and generating more revenue comes at a time when other major Bitcoin miners are exploring alternative revenue streams.
Companies like Core Scientific, TeraWulf, Hut 8 Corp, and Northern Data AG have been expanding into the artificial intelligence and cloud computing space. However, CleanSpark remains committed to its core business of Bitcoin mining.
Related: Largest European Bitcoin Miner Northern Data Ventures into AI
CleanSpark’s performance in June is particularly noteworthy given the recent Bitcoin halving event in April.
A halving occurs approximately every four years and reduces the reward for mining new blocks by 50%. Despite this reduction, CleanSpark managed to increase its bitcoin production compared to May, when it mined 417 BTC.
Although June’s output was lower than April’s 721 BTC, the company’s resilience and ability to adapt to the halving event have been commendable.
As CleanSpark looks to the future, its expansion plans in Wyoming and Tennessee are expected to play a crucial role in achieving its ambitious hashrate goals.
The company’s operational power is projected to reach 100 MW by the end of the year, further solidifying its position in the competitive Bitcoin mining industry.
