Hut 8, a leading Bitcoin mining company based in North America, announced on January 6th that it had increased its Bitcoin holdings by 161 in the last quarter of 2022. It brings the company’s total self-mined BTC to 9,086.
According to the company’s production report for December 2022, it generated an average of approximately 5.2 Bitcoin per day. However, due to high energy costs, the company had to reduce production and sell excess power back to the provider.
In December, the company adhered to its HODL strategy and placed all self-mined Bitcoin into custody. The total Bitcoin balance in reserve on December 31st was 9,086, representing a 65% increase from the end of 2021.
Furthermore, the company had 2.5 EH/s of ASIC hash rate capacity at its Alberta facilities at the end of the month and produced 64.4 BTC/EH in December.
Additionally, Hut 8’s operations at the North Bay site are still on hold while the company looks for ways to resolve the dispute with the third-party energy supplier, including potential internal and external growth opportunities.
The company announced the appointment of Shenif Visram as its new CFO in mid-December. However, CEO Jaime Leverton praised the team for its resilience and determination in the face of challenges in the last quarter of 2022.
According to the press release, Leverton said:
In spite of challenging market forces, we continued growing the largest unencumbered, self-mined Bitcoin stack of any publicly traded company, welcomed our new CFO Shenif Visram, and our balance sheet first approach has us well positioned in 2023.”
Bitcoin Mining Predictions For 2023
As TronWeekly reported, the professional mining data organization Hashrate Index has predicted that the bear market will require miners to be more efficient with their electricity usage.
Some miners may struggle to maintain sufficient uptime due to high electricity costs, leading many public miners to potentially go private or merge with other companies in 2023 to cut costs.
In 2023, it is expected that miners will focus on improving their financial stability and will make greater use of Bitcoin mining derivatives, financial instruments that allow them to manage the risk associated with volatile revenues from mining operations.