In January the Canadian mining company Hut 8 Mining mined 188 BTC. The firm raised its reserves of the first cryptocurrency to 9,274 BTC.
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🎆 January 2023 🎆
Production Update Highlights:
⛏️ 188 BTC mined
🏛️ largest self-mined stack of any public company in reserve
⚙️ 75.2 BTC/EH
🎯 focused on closing merger with USBTC https://t.co/irMwWqDnrd
Read more 👇 https://t.co/dH9lsU2x3h— Hut 8 (@Hut8Mining) February 13, 2023
However, Hut 8 plans to sell the coins mined in the month to fund operating expenses.
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On February 7, the company announced the merger with US Bitcoin on parity terms. The merged entity named Hut 8 Corp will be based in the United States.
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As part of the deal, the Canadian firm agreed to provide interim financing to the partner in a range of $6-6.5 million for a transition period.
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\”I am confident that selling products while we focus on the merger is the right approach, as we expect to realise strong standalone mining, hosting and managed HPC infrastructure in the long term,\” said Hut 8 CEO Jamie Leverton.
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She noted that the cryptocurrency accumulated by the company allows financing the merger without seeking funds \”on less attractive terms\”.
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By the end of January the company’s hash rate stood at 2.5 EH/s. All operating mining facilities are located at two sites in Alberta, Canada.
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In January the company filed a lawsuit against energy supplier Validus Power Corp. and its subsidiary Bay Power Corp for breach of contractual obligations. On February 9 Hut 8 received notice of termination of the lease at the data center in North Bay, Ontario. The company intends to challenge the decision in court.
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Hut 8 shares tumbled after the merger announcement from around $2.40 to $1.68 at the time of writing. Premarket did not react to January’s earnings data.
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As ForkLog notes, miners’ January revenue rose 27% from December and reached $604.6 million, according to ForkLog’s analysis.