Riot Platforms Earns $31M From Bitcoin Miner Shutdowns


Mining company Riot Platforms received $31.6 million in loans in August for responding to electricity demand and supply from Texas-based operator ERCOT.

The amount was a record for the company in a month and exceeded the figure for the whole of 2022.

At the end of August, Riot received $24.2 million for reducing consumption and selling electricity received at a fixed tariff back to the grid at market spot prices. Demand Response Program loans totaled $7.4 million.

“Riot has continued to implement its energy strategy by reducing consumption by more than 95% during periods of peak demand, ditching bitcoin mining revenues and instead providing resources to ERCOT,” the press release reads.

During the month, the company mined 333 BTC, which is 19% less than the July figure (410 BTC). Riot CEO Jason Les noted that the payments from the energy operator in August were equivalent to approximately 1136 BTC.

The company still has 17,040 bitcoin miners unconnected in the blizzard-damaged Building G of its Rockdale data center last December. Therefore, the firm’s operating hash rate is 10.7 EH/s against a total installed capacity of 12.5 EH/s.

The head of Riot called the results of August “a demonstration of the benefits” of the company’s policy in the electricity market.

“Riot’s strategy is a key competitive advantage, which, combined with a strong financial position and an efficient miner fleet, puts it in a strong position ahead of next year’s Bitcoin halving,” Les said.

Recall that in the second quarter, the company received a net loss of $27.7 million, while for the same period in 2022 the figure was “minus” $353.6 million.

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