Bitdeer surged 370%: how the bitcoin miner increased production over the year
Mining company Bitdeer demonstrated an impressive surge in May 2024. During the month, the firm mined 921 BTC, compared to just 196 BTC in May 2023. This represents a 370% year-over-year increase in production.
The key driver of this leap is the rapid expansion of its own hashrate. From 13.6 EH/s in May last year, it increased to 70.2 EH/s by May 2024, corresponding to a growth of nearly 420%. This points to massive investments in equipment and infrastructure that Bitdeer has been actively pursuing over the past 12 months.
However, despite the explosive growth in mining, the company significantly reduced its Bitcoin treasury reserve. In May 2024, Bitdeer increased its treasury by 98 BTC, bringing it to 171 BTC. For comparison, a year ago this figure stood at 1,351 BTC. This trend indicates that the firm is likely actively selling the mined coins to finance operational expenses or further capacity expansion.
Analytical Perspective
A paradoxical picture: record mining output combined with a dramatic reduction in reserves. This is characteristic of an aggressive growth phase, where miners prefer to convert Bitcoin into fiat for scaling rather than accumulating it. If Bitdeer continues to maintain its hashrate growth pace, we may see further increases in mining output, but reserves will likely remain at minimal levels until the market and operational costs stabilize.