13.1 C
London
Tuesday, April 20, 2021

Riot Blockchain’s Hash Capacity Grows 460% in 2020: Report

Must read

UK Time Newshttps://www.uktimenews.com
UK Time News is your daily dose of Latest News, Entertainment, Music, Fashion, Lifestyle, World, Cricket, Sports, Politics, Tech, Business News Website. We provide you with the Latest Breaking News Straight from the UK & all around the World on different categories.

According to its latest annual financial report, the leading US mining company Riot Blockchain increased its hash capacity by 460% and more than doubled the amount of Bitcoin held on its balance sheet in 2020.

Riot saw a 78% growth in total mining revenue from $ 6.7 million to $ 12 million, due to the increased operational hash rate of 101 pentahashes per second, or PH / s, in December 2019 at 566 PH / s on December 31.

While the company said it achieved fourth quarter profitability with net income of $ 3.9 million on a GAAP basis, Riot reported an overall net loss of $ 12.7 million for 2020.

READ  Developer-Focused DeFi Aggregator Instadapp Launches Governance Token
READ  Amid developer drought, teams look to hackathons for talent

However, this was an improvement over her performance in 2019, when she posted a net loss of around $ 20 million.

The company increased its cash and cryptocurrency holdings from $ 11.3 million in 2019 to $ 235 million last year, and doubled its Bitcoin holdings from 514 BTC to 1078 BTC – with its reserve of BTC worth around $ 63.6 million at the time of writing.

Riot noted that it still depends on equity and debt financing to fund its operations, with its deficit falling from $ 221 million in Q2 2020 to $ 299 million at the end of the fourth quarter.

READ  Amid developer drought, teams look to hackathons for talent

The company celebrated its “strategic decision to focus solely on Bitcoin mining” throughout 2020, positioning Riot as one of the world’s leading miners in hash rate terms.

“We are pleased to have invested in the continued growth of our deployed hash rate, which allows us to capitalize on the current extraordinary opportunities in Bitcoin mining.”

Riot is one of the four largest publicly traded Bitcoin mining companies alongside Marathon Digital Holdings, Hut 8, and Hive Blockchain. Although all four companies are trading at a loss, their stocks have outperformed Bitcoin by 455% on average over the past 12 months.

READ  Forex and Crypto Investors Seek Thrill, Social Status, FCA Study Finds
READ  At what price will Bitcoin Satoshi Nakamoto become the richest person in the world?

Blockcap, one of North America’s fastest growing Bitcoin mining companies, currently operates around seven Bitcoins per day, with the company poised to increase production to 30,000 per day by the end of 2021, after have closed two investment cycles with combined transport. of $ 75 million.

Riot shares hit an all-time high of $ 77 on February 17, but have since fallen 30%. In contrast, BTC has risen around 15% since February 17, after posting a record high of $ 61,700 on March 13.