Bitdeer Technologies, a Bitcoin mining company that separated from Bitmain, reported a net loss of $40.4 million in the second quarter of 2023, a significant increase from the $15.6 million loss in the same period last year. In their earnings report released on August 11, the company attributed the losses primarily to a $33.2 million listing fee paid to Blue Safari for their listing on the Nasdaq exchange. However, despite the losses, Bitdeer’s revenue saw a positive growth of 5.2% to reach $93.8 million.
Bitdeer made headlines on the same day as their stock surged by over 40% following the announcement of a $150 million share purchase agreement with B. Riley Financial. This agreement played a significant role in boosting investor confidence, leading to the company’s market capitalization currently being valued at $1.5 billion.
One of the factors contributing to Bitdeer’s overall growth was the increase in its Bitcoin hash rate. Comparing the second quarters of 2022 and 2023, the company’s hash rate spiked from 10.5 exahashes per second (EH/s) to 18.8 EH/s. Additionally, Bitdeer managed to expand its ASICs from 119,000 to 199,000 during the same period. The Bitcoin network’s current hash rate stands at an impressive 432.94 EH/s. Moreover, Bitdeer successfully mined 758 BTC in the second quarter of 2023, a notable increase from the 521 BTC mined in the same period the previous year.
Bitdeer also made notable advancements in infrastructure during the second quarter of 2023. They launched an 18,000-machine mining rig in Bhutan, further enhancing their mining capabilities. Additionally, the company announced the construction of a 175-megawatt mining center in Norway, displaying its commitment to expanding operations globally.
It is important to note that Bitdeer’s journey to becoming a publicly listed company was not without its challenges. In November 2021, the company initially announced its plans to go public through a $4 billion special purpose acquisition company merger. However, due to the adverse conditions of the crypto market at the time, the deal was postponed. It was not until April 2023 that the merger was finally concluded. After the listing, Bitdeer found itself in possession of approximately $130 million in cash equivalents and carrying a debt of $30 million.
Despite incurring losses in the second quarter of 2023, Bitdeer Technologies remains optimistic about its future prospects. The company’s growing hash rate, expanding ASICs, and successful mining operations demonstrate its ability to navigate the challenges of the crypto industry. With the recent share purchase agreement with B. Riley Financial and a strong market capitalization, Bitdeer seems well-positioned to continue its growth trajectory and solidify its position in the Bitcoin mining sector.