Bitcoin Mining Firms Slash Production Amid Peak Power Demand Charges

VISI.NEWS | BANDUNG - Several major Bitcoin mining companies reported lower production levels in June, primarily due to strategic power curtailment in Texas to avoid steep electricity charges during peak demand periods. Riot Platforms mined 450 BTC in June—a 12% drop from May’s 514 BTC—as it engaged in "economic curtailment" and actively participated in Texas’ Four Coincident Peak (4CP) program. This initiative, run by the Electric Reliability Council of Texas (ERCOT), incentivizes large power users to reduce consumption during the state’s most critical grid stress periods, spanning the summer months. Riot CEO Jason Les emphasized that the strategy not only stabilizes the grid but also enhances the company’s market position. Despite the lower output, Riot sold 397 BTC for $41.7 million and retained a balance of 19,273 BTC. Cipher Mining also scaled back operations, producing 160 BTC in June, citing its “proactive 4CP avoidance strategy” to dodge high transmission costs. Although its new Black Pearl facility began contributing late in the month, the overall production was still affected by curtailment. Cipher sold 58 BTC and currently holds 1,063 BTC. Meanwhile, MARA Holdings reported a steeper 25% decline in output, mining just 211 BTC, down from 282 BTC in May. CEO Fred Thiel attributed the dip to weather-related shutdowns, equipment repairs, and the variability inherent in their mining pool's performance. Despite the drop, MARA held 49,940 BTC and did not sell any during the month. In contrast, CleanSpark was the only major miner to report growth, increasing output by 6.7% and producing 445 BTC in June. It surpassed its mid-year target hashrate of 20 EH/s and sold just 8 BTC, ending the month with 6,591 BTC in reserves. The overall trend highlights how Bitcoin miners are adapting operations amid rising power costs and summer energy constraints, especially in energy-intensive states like Texas. @ffr