Riot Platforms Surpasses January’s Lower Bitcoin Production Trends

Riot Platforms (RIOT) achieved a notable milestone in January by mining 527 Bitcoin (BTC), marking its highest production since December 2023 and reflecting a 2% increase from the previous month, according to Farside data. This solid performance stands out as the broader bitcoin mining industry struggled, with several leading mining companies reporting declines in their monthly production figures.

In comparison:

• MARA Holdings (MARA) mined 750 BTC in January, which represented a 13% decrease from December.
• Cleanspark (CLSK) also saw a 6% decline, mining 626 BTC. Other major mining firms also reported month-over-month reductions:
  • IREN (IREN): 2% decline
  • Core Scientific (CORZ): 13% drop
  • Cipher Mining (CIFR): 7% decrease
  • Bitfarms (BITF): 5% decline
  • Hut 8 (HUT): 31% decrease

The general decline across the sector is primarily attributed to rising network difficulty, which has impacted miners’ ability to maintain consistent production levels. Fred Thiel, CEO of MARA, mentioned, “In January, we saw a 12% decrease in blocks won, primarily due to the network’s difficulty fluctuations and intermittent curtailment.”

In contrast, Jason Les, CEO of Riot, celebrated the company’s performance despite these challenges, saying, “Riot successfully mined 527 Bitcoin in January, marking our second consecutive month of increased production despite the tough network environment.”

Bitcoin’s mining difficulty adjusts every 2,016 blocks to ensure an average block time of 10 minutes. The next difficulty adjustment, expected on February 9, is forecast to reach a record high, surpassing the previous difficulty level of 108.11 trillion (T).

Performance of Mining Stocks YTD

Bitcoin’s 4% rise year-to-date (YTD) has positively influenced some mining stocks. Among them:

• Cipher Mining (CIFR), which has seen a 27% gain.
• IREN, RIOT, and CLSK, all reporting double-digit increases. However, Bitdeer Technologies (BTDR) is down by 25%, while Core Scientific (CORZ) and TerraWulf (WULF) have experienced declines of around 10%.

Several companies, including Hive (HIVE), BTDR, and WULF, have yet to disclose their January production figures.

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