CleanSpark Expands Bitcoin Mining Operations Amid Market Challenges
By: Eva Baxter
US Public Bitcoin miner CleanSpark has reported a significant 567% increase in its Bitcoin treasury, mining 494 BTC in July 2024 alone. This is a substantial recovery from a decline of over 40% in its Bitcoin reserves during the bear market last year, indicating a bullish stance in 2024.
Zach Bradford, CEO of CleanSpark, stated, “We made significant progress in two new states this month. We’re continuing our trajectory of growth as we progress towards our target of 32 EH/s by the end of the year.” With a total of 4,108 BTC mined in 2024, valued around $268 million, and holding 7,082 BTC valued at $462 million, the company showcases its steady and significant growth. The mining fleet deployment included 160,900 units with a fleet efficiency of 22.89 J/Th, and the operating hashrate at the end of the month was 21.2 EH/s.
CleanSpark's strategic expansion is particularly evident in Tennessee and Wyoming. In Tennessee, collaborating with GRIID Infrastructure Inc. has resulted in 1.0 EH/s operational under a 50 MW power allocation, which is expected to double soon. Meanwhile, in Wyoming, CleanSpark has secured power agreements for 75 MW and completed the acquisition of its first mining site in the state. This 30 MW facility uses advanced immersion-cooling technology and is projected to enhance the company's hashrate by approximately 2 EH/s by year-end. The potential acquisition of a second site in Wyoming underscores the company's commitment to rapid regional growth.
The Dalton facility expansion is also noteworthy, with the East building completed and the West building under construction. This 15 MW expansion, planned to commence operations by early September, is anticipated to provide an additional 0.9 EH/s to the company's overall hashrate. These developments mirror CleanSpark's strategy to enhance its Bitcoin mining capabilities and operational efficiency. The increase in Bitcoin reserves aligns with the broader market trend of miners choosing HODLing over cashing out to FIAT.
These strategic moves come at a challenging time for the Bitcoin mining industry, as market dynamics highlight the pressure on miners to either diversify or double down on their BTC investments. Broader market trends suggest that many mining companies are opting to hold onto their Bitcoin reserves, aligning with CleanSpark's current approach.
