Bitcoin
Bitcoin halving impacts mining company Riot’s revenue by 43% despite new facilities – TradingView News
Bitcoin BitcoinUSD Mining company Riot Platforms produced 215 BTC in May, a 43% drop compared to last month.
The decrease in mining revenues is a direct impact of the April 20 Bitcoin halving on the mining industry, which halved mining rewards to 3,125 BTC.
Anticipating this decline, Riot planned in advance an infrastructure upgrade to maintain Bitcoin production after the halving.
In May, Riot launched a new Bitcoin mining facility in Corsicana, Texas, which added 3.1 exahashes per second (EH/s), bringing Riot’s total self-mining capacity to 14.7 EH/s — an increase 17% compared to the previous month.
The mining facility currently operates at 100 megawatts (MW) and will eventually increase to 1 gigawatt (1,000 MWs) when fully developed.
Infrastructure development for hash rate growth
Riot is targeting a total hash rate capacity of 31 EH/s by the end of 2024 and 41 EH/s by 2025. To do this, the company entered into a long-term master purchase agreement with MicroBT, which included a initial order for 33,280 miners for the new facilities.
The strategies employed by Riot are designed to ensure profitability, especially during bear markets.
Energy credits and demand response
In addition to upgrading to highly efficient mining equipment to reduce operating costs, Riot also employed a new strategy, explained Jason Les, CEO of Riot:
“Riot’s unique energy strategy, which we typically employ most actively in the summer months, has already begun to demonstrate significant results for this year, generating approximately $7.3 million in energy and demand response credits in May.” 
On May 28, Riot Platforms announced an offer to buy its competitor, Bitfarms, at a significant premium to its share price.
At the time of the offer, Riot was already Bitfarms’ largest shareholder, with a 9.25% stake. The proposed acquisition included a combination of cash and common stock, totaling $950 million in equity value to shareholders, which represents a 24% premium over the volume-weighted average price of Bitfarms’ one-month shares as of March 24. May.
The offer comes at a time when Bitfarms management is in transition, looking for a new CEO.