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US-listed mining firms have accumulated over $1 billion worth of Bitcoin

Updated: Jul 25, 2024
Published: Oct 8, 2021
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Publicly listed bitcoin mining firms in North America have collectively mined more than 20,000 BTC, worth over $1.1 billion at the current price.

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Mining production in Q3 is about 82% higher than in Q2

Based on their most recent monthly production data released recently, Riot, Marathon, Bitfarms, Hut8, Greenidge, Argo, and HIVE mined a total of 6,463 BTC in the third quarter representing about 7.5% of the total BTC block rewards available for grab during that period.

On average, Riot, Marathon, Bitfarms, Hut8, Argo, and HIVE's bitcoin mining production in Q3 is about 82% higher than in Q2 due to the expansion of their equipment and dwindling competition from Chinese miners following the country's recent crackdown.

Companies use their Bitcoin to take out loans

These companies are holding their mined bitcoin on their balance sheets and have not liquidated it. Because they are not liquidating it, they have to find another way to have enough funds to pay utility bills, pre-order new equipment, or expand their facilities amid an infrastructure boom in North America. To that end, some of these companies are borrowing capital.

Argo Blockchain, for example, recently pledged a portion of its mined BTC as collateral to Galaxy Digital for a $25 million loan. Marathon recently received a $100 million revolving line of credit from Silvergate Bank secured by its BTC and cash reserves. Hut8 borrowed $12 million from DCG's Foundry earlier this year to fund its asset expansion. But in addition to loans, U.S.-listed mining companies have also turned to the public market this year to boost working capital and advance expansion plans.

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