Marathon Digital Reports Decline in Bitcoin Production for February

Marathon Digital, a Bitcoin mining firm, reported a decline in Bitcoin production for February, attributed to higher network difficulty and fewer operational days.

Production Details

Marathon Digital’s Bitcoin (BTC) production decreased by 6% month-over-month in February. This decline comes despite a 4% increase in daily crypto production compared to January. The company’s energized hashrate, however, remained stable.

> “Blocks won and Bitcoin production decreased by 6% month-over-month, primarily due to a higher network difficulty level and three fewer operational days. Our energized hashrate was slightly above the prior month, and we are close to finishing construction of a 40-megawatt data center in Ohio where we plan to install over ten thousand S21 Pro immersion miners.”
> — Fred Thiel, Marathon Digital’s Chairman and CEO

Future Prospects in AI

Thiel also noted that the mining company aims to expand its reach into the artificial intelligence sector, which is expected to unlock additional revenue opportunities over the long term.

> “We expect our costs to decline as we realize savings from owning our sites and generating our own power, and we will be laser-focused on efficiency as we drive towards our goal of low-cost energy.”
> — Fred Thiel

The increase in network difficulty has created challenges for miners since Bitcoin’s halving in April 2024. This event reduced the rewards per mining block, complicating the ability to maintain high production rates. Moreover, with more competition on the network, fewer blocks being won has negatively affected production numbers.

Marathon’s shares dropped by 5% during pre-market trading following the production update, as reported by Yahoo Finance. It remains uncertain when the new miners for the Ohio facility will be fully operational.

Related Information

For more insights, you can read about Marathon Digital’s improvement in hash rate with an increase of 15%, having mined 890 BTC in December.