Why Marathon Digital Holdings mined 979 bitcoins in June 2023

mining rig

Marathon Digital, a Bitcoin mining company, said it mined 979 BTC in June. The figure is lower than what it mined in May and 599% more than what the company produced in June 2022.

“We produced 979 bitcoins in June, down 21% from last month and up 599% from June 2022,” said Fred Thiel Marathon’s chairman and CEO. “The decreased production relative to last month was due to weather-related curtailment in Texas and a significant decrease in transaction fees, which fell to approximately 5.1% of the total bitcoin we earned in June compared to 11.8% in May. The emergence of Ordinals significantly increased transaction fees in May, and while network congestion eased in June, we view recent trends as a positive sign for the future of mining economics.

A press release by the company said that the reduction in its Bitcoin production in the month of June was due to weather related curtailment in Texas, its operational location. Another reason is the lower transaction fees on the Bitcoin network at the moment. It was noted that the surge in demand for Ordinals helped shore up the fees in May.

The company further said that it has increased its operational hashrate by 16% from June to 17.7 exahashes month-over-month. Its installed hashrate is also up by 21.8%, month-over-month. It said that this is closer to their vision of reaching a hashrate of 23 EH/s at their Garden City, TX, facility.

Marathon said its new joint venture partnership commenced operation this week. Meanwhile, the company said that its mining system was energized by removing 3,000 older generation miners. It says that it currently has 149,900 bitcoin miners, which the report says are capable of 17.7% EH/s based on the manufacturer’s specifications.

Author: Grace