Canadian Bitcoin (BTC) miner Hut 8 Mining Corp. added to its massive BTC holdings in July as the company maintained its long-term “HODL strategy” in the face of market volatility.
The Alberta-based company generated 330 Bitcoin in July at an average production rate of 10.61 BTC per day, bringing its total reserves to 7,736 BTC.. Its monthly production rate was equivalent to 113.01 BTC per exahash, the company revealed on Friday.
Hut 8, which is listed on the Nasdaq and Toronto stock exchanges, is one of the largest public holders of Bitcoin, according to industry data.
As part of your ongoing HODL strategy, Hut 8 deposited all of its self-mined Bitcoin into escrow, bucking the growing industry trend of miners selling off portions of their reserves during the bear market. As Cointelegraph reported, Texas miner Core Scientific sold 7,202 BTC in June at an average price of $23,000 to pay for servers and pay off debt. The company recovered 1,221 BTC the following month after increasing its mining output by 10%.
For its part, mining company Argo Blockchain reduced its holdings by 887 BTC in July to pay off a loan agreement with Galaxy Digital and to finance its business. Separately, Riot Blockchain cut its Bitcoin holdings for the third month in a row in June to raise capital for its operations.
Bitcoin mining was a very lucrative business in 2021 as the average revenue per mined BTC was more than four times higher than the previous year’s average. With Bitcoin prices crashing in 2022, submerged miners have been forced to sell in a declining market environment.
HUT 8 shares gained 3.5% on Friday and traded at $2.38. The stock is down nearly 70% year-to-date and 80% since its high on November 8, 2021, when Bitcoin was trading near $70,000.
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