Public mining firms in North America have accumulated 20,459 BTC in their accounts
The largest US-listed mining companies hold over 20,459 BTC in their balances, equivalent to $1.12 billion at current exchange rates on Huobi.
This conclusion was reached by cryptocurrency analysts of The Block, based on the data on the volume of Bitcoins mined per month by Marathon, Hut8, Argo, Greenidge, Riot, Bitfarms, and HIVE. Their total result amounted to 6,463 BTC or about 7.5% of the number of Bitcoins received by miners in the Q3 of 2021. It is worth noting that one of the most extensive mining firms BIT Digital was not included in the statistics since it has not yet published data for the Q3 of this year. It also became the only North American company operating in China and therefore suffered the most after the Chinese "mining repression".
If we talk of the medium BTC production of the above-mentioned companies, then in the Q3 it turned out to be 82% more impressive than in the Q2 of 2021. The reason for this, first of all, was the increase in the “park” of mining rigs owned by firms, as well as a noticeable weakening of competition from Chinese miners as a result of the total ban of this industry in the territory of the Celestial Empire.
Cleanspark joined the list of active participants in the NA Bitcoin mining market of 2021 year, and Greenidge became public during the SPAC, revealing detailed information about its mining.
Since the firms do not intend to sell the Bitcoins they have mined yet, they need to make sure that they have a sufficient amount of money to pay their energy allegations and pre-order capacity in order to scale their business and increase infrastructure in the United States. Some of them are even forced to raise debt capital in order to "accelerate" the indicators.
Argo, for example, guaranteed a portion of its Bitcoin mining to Galaxy Digital as insurance to get a $25M loan from the latter, and Marathon, in turn, negotiated a $100M line of credit with Silvergate Bank, also backing it with Bitcoins. Hut8's loan was the smallest among his peers $12M from DCG, spent on increasing the number of miners.
The strategy of American companies resembles the approach of Chinese miners in 2019 when they relied on the growth of the main cryptocurrency in the near future while maintaining the interest rate. But they should be aware of the risk of forcibly disposing of equipment in the event of a sharp drop, one of which caught China by surprise in March 2020.
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