BTC Miner Greenidge Expects $20m Loss in Q3

Bitcoin miner Greenidge Generation Holdings' anticipates a loss of between $20 million-$22 million for Q3/2022, CoinDesk wrote. The mining company’s preliminary operating and financial results for the quarter show that it expects a dip in revenue: about $29 million, down from almost $36 million y/y.

CEO left the company

Greenidge CEO Jeffrey Kirt left the mining firm on October 7. David Anderson was appointed in his place. He transferred from Millar Western Forest Products, a forest product company based in Alberta, where he served as CEO and president.

Mining difficulty has increased

Greenidge mined approximately 866 BTC in the third quarter of this year, up from 729 BTC y/y. Recent data show the Bitcoin network's mining difficulty has increased. The number of hashes needed to mine one bitcoin has increased by more than 13%. At the moment, this number is 35.6 trillion.

Miners have to pay more to extract new bitcoin as a result. Exacerbating this is the fact that the value of the world's biggest crypto by market cap is low. High energy costs are also adding to the expenses.

On Monday, Greenidge’s shares lost almost a quarter of their value. They regained 5.3% in pre-market trading today.

A gloomy trend

Compute North, a provider of mining data, filed for bankruptcy last week. Argo Blockchain, which is also listed on the LSE, had to raise $27 million to lower liquidity pressures last week.