June was a month of contrasts for mining giant BitFuFu. The company mined only 125 BTC, a 29.4% decrease compared to May. This decline is directly linked to the expiration of several cloud mining contracts, which reduced the total hashrate under management from 19.5 EH/s to 15.3 EH/s.
However, behind this external decline lies a strategic pivot. BitFuFu is actively expanding its own production capacity. In June, the company commissioned 1,200 of the latest Antminer S21 XP ASIC miners, boosting its own hashrate to a record 3.5 EH/s. This demonstrates a clear course toward vertical integration and reducing dependence on third-party contracts.
Simultaneously, BitFuFu is reducing its bitcoin reserves. The company's holdings decreased to 1,671 BTC. Part of these funds was allocated to prepay for future capacity totaling 5.3 EH/s. This is an aggressive investment strategy aimed at long-term leadership, but it carries risks amid market volatility.
My analysis: BitFuFu is going through a phase of painful but necessary transformation. The 30% drop in mining output is a temporary cost of shifting from a cloud mining model to controlling its own equipment. Investments in the Antminer S21 XP and prepayment for new capacity are a bet on efficiency and independence. If the bitcoin market remains stable, these actions will pay off. But with a sharp drop in BTC price, such aggressive capital expansion could put serious pressure on the company's liquidity. This case should be closely watched as an indicator of the health of the entire sector.