Singapore-based cloud Bitcoin miner BitFuFu doubled its income within the third quarter from a 12 months in the past, pushed by demand for cloud mining and gear as miners look to benefit from rising Bitcoin costs.
In keeping with BitFuFu’s third quarter earnings report on Wednesday, complete income elevated 100% 12 months over 12 months to $180.7 million, of which cloud mining accounted for $122 million.
This enhance was pushed by sturdy demand for cloud mining options, customers hoarding mining gear, and continued growth of mining capability.
BitFuFu doubled its income within the third quarter in comparison with the identical interval final 12 months resulting from elevated curiosity in cloud mining. sauce: Bitfufu
BitFuFu operates its personal mining farm the place it straight mines Bitcoin (BTC). Moreover, it sells mining machines, gives internet hosting providers, and permits customers to hire or buy hash charges for a payment.
Demand for cloud mining will increase with hashrate
BitFuFu’s cloud mining customers elevated by greater than 40% in comparison with the identical interval final 12 months to 641,526, and mining gear gross sales reached $35 million, up from simply $300,000 in the identical interval final 12 months.
The common price of Bitcoin within the third quarter of final 12 months was $61,000, in comparison with $114,500.
“This development displays sturdy demand for mining machines supported by the sustained upward development in Bitcoin costs,” the miner stated.
In keeping with the evaluation platform Ycharts, the community hash fee can also be on the rise, remaining at 1.19 billion, up from 687.19 million a 12 months in the past. Cloud mining permits customers to mine cryptocurrencies with out having to take care of or improve their very own {hardware}.
Bitcoin mining additionally contributes to earnings
Bitcoin miners are shifting their capabilities to AI and high-power computing internet hosting providers within the wake of the April 2024 halving, which diminished mining rewards.
Nonetheless, BitFuFu CEO Leo Lu stated that continued self-mining of Bitcoin continues to contribute to the corporate’s development and income.
“Our sturdy third quarter outcomes display the advantages of our differentiated dual-engine mannequin, which mixes cloud mining recurring income with direct publicity to Bitcoin value appreciation by means of self-mining operations.”
“This mannequin gives a number of levers to handle volatility and keep profitability all through the cycle, and our sturdy stability sheet gives the flexibleness to speculate the place returns are most engaging,” he added.
BitFuFu mined 174 Bitcoins within the third quarter, additionally rising its complete holdings by 19% in comparison with the identical interval in 2024 to 1,962 cash.
