Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Miner Mawson To Defer Major Capital Expenses, Waits for Stable Market

Cryptocurrency Jun 29, 2022 09:00AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
Miner Mawson To Defer Major Capital Expenses, Waits for Stable Market

  • Bitcoin miners seem to be affected by the recent bear market segments of the crypto industry.
  • Mawson is engaged in energy demand response programs across its businesses, lowering operating expenses.
  • The company is also reducing energy consumption, often known as demand response.

On Tuesday, Mawson Infrastructure Group, a Bitcoin (BTC) mining firm, announced that it had halted major capital expenses until the market improves. Furthermore, the firm is lowering its energy consumption, also known as demand response, as a result of the market sell-off and rising electricity costs due to inflation.

Mawson continues to provide Hosting Co-location services, including its agreement with Celsius Mining LLC. Mawson’s contracts are on a cost-plus basis, and the firm has a good security position. Mawson’s Bitcoin mining facilities are continuing to operate across the United States.

The move comes as Bitcoin miners around the world are feeling the squeeze from the bear market conditions that have gripped the cryptocurrency industry since the beginning of mid-May this year.

In June, Mawson received its final shipment of Canann A1246 ASIC Bitcoin miners, and it has no outstanding payments owing for Bitcoin mining rigs.

Regarding the company’s decision, CEO and founder James Manning said:

Despite an unpredictable market, Mawson is presently ongoing to self-mine and it is taking part in energy demand response programs where relevant. Furthermore, we’re fortunate to possess no outstanding contracts to buy ASIC Bitcoin Miners, enabling us to pay attention to developing our co-location business being an alternate revenue stream as the Bitcoin cost is covered up.

In its most recent monthly update, Mawson revealed that it owned over 40,000 application-specific integrated circuit (ASIC) Bitcoin mining machines. The four rigs are capable of producing a combined 3.35 exahash per second, or about 1.675% of the overall Bitcoin network hash rate. The firm made $19.4 million in total revenue throughout the year, with $6.03 million spent on capital expenses, or acquiring real property and equipment.

The continuing cryptocurrency slump has hit Bitcoin miners particularly hard, with reports suggesting that they sold all of their May harvests. Mining revenues in the industry have dropped to their lowest levels since May 2021. It has been reported earlier that the White House has set its sights on crypto mining energy consumption in the United States.

Continue reading on CoinQuora

Miner Mawson To Defer Major Capital Expenses, Waits for Stable Market
 

Related Articles

Cryptoverse: Electric ether leaps on verge of Merge
Cryptoverse: Electric ether leaps on verge of Merge By Reuters - Aug 16, 2022

By Medha Singh and Lisa Pauline Mattackal (Reuters) - It looks like ethereum's mega-upgrade is happening. Finally. After years of delays, the "Merge" seems all but certain to...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email