Bitcoin mining company Riot Platforms reported a 19% increase in Bitcoin production in 2023, with a total of 6,626 Bitcoins mined.

After accounting for electricity credits allocated to self-mining, the cost of mining Bitcoin will average $7,539 per Bitcoin in 2023. This is a 33% decrease from the 2022 average of $11,225.

Riot Platform Revenue Surges

Riot Platforms CEO Jason Les has announced the company’s stellar 2023 results, highlighting that this is another important milestone in the company’s journey as a vertically integrated Bitcoin ( BTC ) miner.

Les claims to have generated $281 million in total revenue, 6,626 bitcoins produced, and $71 million in power credits through his innovative power strategy.

The report shows that the average cost of mining one Bitcoin in 2023 fell by about $3,686 from the previous year. Specifically, after taking into account the electricity credits allocated to self-mining, Riot's mining cost per Bitcoin averaged $7,539, down 33% from $11,225 in 2022.

Furthermore, the average value of Bitcoin in 2023 exceeded that of 2022, resulting in a rise in revenue to $280.7 million that year, up from $259.2 million the previous year. This boost was mainly attributed to the higher average price of Bitcoin in 2023 compared to the bear market in 2022.

Les further detailed Riot’s strategic progress for 2023, including:

• Completion of the Rockdale expansion of the 700-megawatt facility;

•Successfully scaled its electricity strategy, reducing the cost of mining each Bitcoin to $7,539;

• Established a strategic partnership with MicroBT to secure long-term, fixed-price supply of the latest generation of mining machines;

• Construction of the 1 GW Corsicana facility continues and is expected to be completed and operational by the end of the first quarter of 2024, when it will become the world’s largest dedicated Bitcoin mining facility.

The report highlights Riot Platform’s strengthened balance sheet, ending 2023 with approximately $597 million in cash, 7,362 Bitcoin (worth approximately $311 million at year-end prices), and minimal long-term debt.

Les stressed that Riot’s strong balance sheet puts the company on the safest path in the industry to achieve its growth goals. He affirmed Riot’s goal of achieving a total hashrate capacity of 28 EH/s by the end of 2024, 38 EH/s by the end of 2025, and ultimately exceeding 100 EH/s.

Strategic expansion amid regulatory uncertainty

In June 2023, Riot Platforms expanded its operations by acquiring 33,000 new Bitcoin miners ahead of the 2024 halving event. This strategic move was intended to increase mining capacity and potential profits ahead of the Bitcoin halving event.

Riot Platforms invested approximately $138.5 million in these mining machines, demonstrating its confidence in the future of Bitcoin mining and the expected growth in the value of Bitcoin.

These next-generation miners are scheduled to be deployed in the first quarter of 2024, increasing Riot Platform’s self-mining capacity by 7.6 EH/s, for a total of 20.1 EH/s.

Separately, the Texas Blockchain Commission (TBC) and Riot Platforms jointly filed a lawsuit against the U.S. Department of Energy (DOE), the Energy Information Administration (EIA), and the U.S. Office of Management and Budget (OMB) in the U.S. District Court for the Western District of Texas on February 23.

The lawsuit challenges what the plaintiffs see as excessive regulatory scrutiny of the cryptocurrency industry from the Biden administration, particularly with regard to energy consumption.

At the heart of the legal action is the EIA’s emergency information collection of various TBC members, including Riot Platforms, which the plaintiffs argue violates the statutory standards of the Document Reduction Act. The lawsuit criticizes the government’s approach as “crude” and “intrusive,” and claims that proper justification and procedural requirements were not followed.

TBC and Riot Platform seek to prevent DOE and EIA from collecting data from identified commercial cryptocurrency miners and invalidate OMB’s approval of this action. #Riot  #比特币挖矿