While bitcoin is down more than 72% from the crypto asset’s all-time high, bitcoin mining operations are expanding at a rapid pace during the downturn. On Tuesday, the bitcoin miner Cleanspark said its hashrate has surpassed 4 exahash per second (EH/s), and the Texas mining company Rhodium revealed it raised $11.9 million, according to a September 19 Securities and Exchange Commission (SEC) Form D filing. Rhodium further disclosed a merger with Silversun Technologies on September 29. Two days ago, Merkle Standard held a ribbon-cutting ceremony as it opened a new mining facility in Spartanburg, South Carolina.
Rhodium Raises $11.9M, Reveals Merger With Silversun Technologies
A recently filed SEC Form D registration explains that Rhodium Enterprises, Inc. raised $11.9 million this month, according to a notice of an exempt offering of securities filing published on September 19, 2022. Ten days later, Rhodium and Silversun Technologies detailed the two companies will be merging.
The newly merged operation plans to apply for a public listing and the business combination is expected to settle by the end of the year. The Texas-based Rhodium utilizes “proprietary tech to self-mine bitcoin,” according to the firm’s website.
Cleanspark Hashrate Exceeds 4 Exahash per Second
Following a number of announcements during the last three months, Cleanspark, Inc. (Nasdaq: CLSK) revealed on Tuesday that the company’s mining operations have surpassed 4 exahash per second (EH/s). Cleanspark details that the company is on schedule to meet the end-of-the-year goal of around 5 EH/s. Cleanspark’s CEO Zach Bradford said during the 4 EH/s milestone announcement that bitcoin mining can decarbonize the economy.
“Bitcoin mining, when done with an eye toward low-carbon energy sources, can hasten the decarbonization of our economy,” Bradford remarked. “No other industry can do this like Bitcoin. In addition to being a technology that we believe will revolutionize our monetary system, Bitcoin is also a technology capable of revolutionizing our energy systems, making them more resilient, abundant, and clean.”
Merkle Standard Opens Data Center in Spartanburg, South Carolina
On Tuesday, Merkle Standard held a data center ribbon-cutting ceremony with residents of Spartanburg county, South Carolina state treasurer Curtis Loftis, BV Power, and congressman William Timmons (R-SC). “This is the future, so digital assets are going to be a part of our lives going forward and it’s great that we’re on the leading edge,” Timmons said during the ceremony.
According to the local news reports, Merkle Standard’s new facility is a $35 million investment in the Spartanburg county region. Timmons further noted on Tuesday that Merkle Standard’s new data center has provided the county with roughly two dozen jobs and he added that the number is expected to grow.
What do you think about the bitcoin mining operation expansions during the last week amid the crypto winter’s downturn? Let us know what you think about this subject in the comments section below.
Source: Mining Archives – Bitcoin News
Bitcoin’s Mining Difficulty Expected to Drop Significantly, Retarget Could Be 2022’s Largest Reduction
Bitcoin miners could catch a break in a week or so, on or around Dec. 5, 2022, as the next difficulty retarget is expected to see a significantly large reduction. Estimates show the next difficulty retarget could drop anywhere between 6.13% and 10% lower. Presently, the difficulty change looks as though it could be 2022’s […]
Bitcoin miners could catch a break in a week or so, on or around Dec. 5, 2022, as the next difficulty retarget is expected to see a significantly large reduction. Estimates show the next difficulty retarget could drop anywhere between 6.13% and 10% lower. Presently, the difficulty change looks as though it could be 2022’s largest reduction if it surpasses the 5.01% decline recorded on July 21.
Bitcoin’s Next Difficulty Retarget Is Expected to Decrease, Data Suggests a Notable Drop in the Cards
When the last Bitcoin difficulty change occurred on Nov. 20, 2022, at block height 764,064, it increased by a mere 0.51% that day. The increase did, however, propel the network’s difficulty to its lifetime high of 36.95 trillion. Since then, during the past week, the network’s average hashrate has been around 249.1 exahash per second (EH/s).
The average Bitcoin network block time has been slower than usual as well, running between 10.2 minutes to 11.06 minutes on Monday evening (ET). The block intervals have been a lot higher since the difficulty change on Nov. 20, as prior to that day, block times had been on average less than ten minutes since Sept. 29.
The longer block times suggest the 2,016 blocks mined prior to the next retarget will be slower than the average of two weeks. At the time of writing, statistics indicate that the retarget could drop as low as 10% on Dec. 5, and metrics from Btc.com indicate the drop is estimated to be around 6.13%.
Both estimates would outpace the largest difficulty contraction the Bitcoin network has seen all year with the largest decrease so far recorded on July 21, which was approximately -5.01%. Miners are currently dealing with the highest difficulty ever recorded, and bitcoin (BTC) prices are 76% lower than the all-time high ($69K) recorded on Nov. 10, 2021.
Mining insights from braiins.com and macromicro.me show BTC’s cost of production ($18,360) is above the current spot market value ($16,250). Additionally, market intelligence from Glassnode indicates that bitcoin miners are tapping into their treasuries.
The onchain analytics firm Glassnode tweeted about how the bitcoin mining sector and industry is “under immense financial stress,” while announcing a mining report the firm published with Cryptoslate.
“What we find is that [bitcoin] miners are distributing around 135% of mined coins,” Glassnode said. “This means miners are dipping into their 78K [bitcoin] strong treasuries.” During the latter half of the year, publicly-listed mining operations have disclosed that they have been selling BTC to bolster cash reserves and pay down debt.
At the time of writing at 7:30 p.m. (ET), Foundry USA’s three-day hashrate is around 60.66 EH/s, which represents 25.45% of the global hashrate. In three days, the largest mining pool Foundry mined 98 BTC blocks out of 385 discovered by all the miners.
Foundry’s hashrate is followed by Antpool, F2pool, Binance Pool, and Viabtc respectively. Between all five pools over the last three days, the top five mining pools were able to discover 315 blocks out of the 385 total.
What do you think about the chance that the next difficulty retarget could be the largest decrease in 2022? Let us know what you think about this subject in the comments section below.
Source: Mining Archives – Bitcoin News