Bitfarms, a Toronto-based Bitcoin mining company, recently announced that its operational hash rate had reached an impressive 11.1 EH/s by the end of July. This milestone marked a 109% year-over-year increase and a 7% rise month-over-month. The average operational hash rate for the month was 10.3 EH/s, which was a significant 36% increase from June.
Increased Bitcoin Generation and Treasury Holdings
Despite facing a 1% decline in Bitcoin per EH/s due to a surge in network difficulty, Bitfarms managed to generate 253 BTC in July. This figure represented a 34% month-over-month increase, although it was 33% lower than the previous year. The company sold 142 BTC for $8.6 million, which helped increase its treasury holdings to 1,016 BTC, valued at around $67.2 million. On average, Bitfarms earned 8.2 BTC daily, translating to approximately $542,000 per day based on the BTC price of $66,100 at the end of the month.
Facility Expansions and Operational Updates
In Québec, Bitfarms’ Baie-Comeau facility’s expansion to 22 MW is on track for completion by September 1st this year. Additionally, in Paraguay, both the Paso Pe and Yguazu sites are progressing well, with all five warehouses and eight hydro containers at Paso Pe fully energized and actively hashing.
CEO Ben Gagnon expressed confidence in Bitfarms’ operational expertise and efficiency, highlighting the company’s increased market share and month-over-month Bitcoin production growth since the halving event in April. However, Gagnon also addressed challenges faced by Bitfarms, including a batch of approximately 3,000 T21 miners experiencing overheating problems, even in cooler conditions. Bitmain is replacing these malfunctioning units at their own expense, with new miners expected to arrive and be installed within three weeks. Bitfarms remains actively engaged with Bitmain to address manufacturing issues and enhance performance for future batches.
Despite setbacks with a portion of the T21 miners, Gagnon remains optimistic about Bitfarms’ growth potential and market positioning. The company’s hash rate is still below its 12 EH/s target, but with ongoing fleet upgrades, site optimizations, and software enhancements, Bitfarms aims to further accelerate its growth and drive value for shareholders in the coming months.
