Crypto miner Hut 8 surpasses 5K Bitcoin held in reserves

In its third quarter earnings release, Canadian cryptocurrency miner Hut8 announcement that he exceeded his goal fixed earlier this year...


In its third quarter earnings release, Canadian cryptocurrency miner Hut8 announcement that he exceeded his goal fixed earlier this year to hold 5,000 Bitcoins (BTC) on reserves through mining. Its Bitcoin balance now stands at 5,053, for a total market value of $ 430 million.

During the quarter, Hut 8 generated revenue of C $ 50.34 million (CA $) and net income of C $ 23.37 million, compared to C $ 5.75 million in revenue and loss of C $. C $ 0.90 million in the quarter of the previous year. The company hosts a large fleet of application-specific integrated circuit machines, or ASICs, used in Bitcoin mining. Additionally, it deploys NVIDIA GPUs to mine Ethereum (ETH).

The company’s total hash rate (Bitcoin and Ethereum mining combined), or the number of guesses per second needed to get a mathematical solution to mine a new block on a proof-of-work blockchain, stands at 1, 7 exahash per second (1.7 * 10 ^ 18 hashes / s, EH / s). In context, the total hash rate of the entire Bitcoin network is 162 EH / s, according to to data provided by Blockchain.com. As for Ethereum, this number rises to 817.06 terhashes per second (817.06 * 10 ^ 12 hashes / s, TH / s), according to to data provided by 2Miners.com. The company’s contract mining capacity for Ethereum stands at 1.6 TH / s.

Hut 8 adopts a retention-for-life, or HODL, strategy when it comes to mining Bitcoin; that is, she does not seek to sell them under most circumstances. The company also lends its BTC to agricultural yields and claims to mine nearly 20 BTC per day.

Location of Hut 8 crypto mining operations. | Source: Presentation of the call on Hut’s 8th quarter 2021 results

The company operates in the Canadian province of Alberta and plans to expand into Ontario. It uses a mixture of natural gas, wind and green energy for its mining operations.