Texas miner earns more from idling rigs than digging Bitcoin
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Riot Platforms earned $31.7 million from Texas energy credits by curtailing Bitcoin mining operations, far more than the $9 million value of the 333 Bitcoin it mined.
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Riot achieved record high energy credits in August by reducing energy use through Bitcoin mining curtailment. This significantly lowers Riot's Bitcoin mining costs.
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High energy prices plus lower Bitcoin prices have made Bitcoin mining less profitable than in 2021 when revenue and Bitcoin value were much higher.
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Bitcoin mining market caps dropped 21% in August, with Riot's 39% drop being the worst among top US mining firms.
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Curtailing Bitcoin mining to earn energy credits from Texas grid operator ERCOT generates significant revenue for Riot despite lower Bitcoin profits.