HUT Holds the Bitcoin as Others Dump theirs!

Anecdotally, it appears that HUT is keeping Bitcoin (BTC) as others dump theirs.

Hut 8, a Canadian crypto miner (HUT), has added 5,800 bitcoin mining rigs to its fleet and plans to hold on to all the crypto it produces, even if other miners sell off their tokens in order to cover operating costs.

  • Hut 8's North Bay site in Ontario, which has an estimated power capacity of 20 MW, is home to about 5,800 new miners as of June 30. The company's total computing power capacity was 2.78 EH/s at that time.
  • In June, the company mined 328 bitcoin, increasing its holdings to 7,406 BTC ($148 million).
  • Hut 8 will continue to hold on to the bitcoin it mines, while other miners are selling off their bitcoins in order to pay for operating expenses and loan obligations. Core Scientific (CORZ), one of the largest miners by computing power, said that it sold 7,202 bitcoins in June for $167 million.
  • Mining companies have seen their profits dwindle along with the price of bitcoin in recent weeks. Some are also facing demands to repay debt issued during the bull market, because the value of their collateral—usually bitcoin or mining rigs—has also fallen.
  • CoinDesk data shows that HUT, one of the least leveraged public miners, is also one of the most profitable. At the end of 2018, it had CAD$140 million in cash, as shown in its annual earnings report.
  • Hut 8 has also diversified its revenue streams away from cryptocurrency. Its high-performance computing business is "on track to grow up to 18% by the end of 2022," according to the statement.