Core Scientific sold $167M worth of Bitcoin holdings in June

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United States-based cryptocurrency mining firm Core Scientific sold more than 7,000 bitcoins in June to pay for servers, increase its data capacity, and settle loans.

In Tuesday’s announcement, Core Scientific said it sold approximately $167 million worth of bitcoin (BTC) in June at an average price of $23,000 – 7,202 BTC. The sale left the firm with 1,959 BTC – about 21% of its stake – and $132 million in cash as of June 30, a decline of more than 75% compared to its 8,058 BTC holdings as of May 31.

According to the company, it uses the proceeds from crypto sales to pay for ASIC servers, schedule loan repayments, and invest in additional data center capacity. The company reported that it had produced 1,106 BTC in June, with self-mining accounting for 57% of its data center capacity and crypto mining operations as of June 30 – over 180,000 servers.

“Our industry is facing tremendous stress as capital markets weaken, interest rates are rising and the economy is dealing with historic inflation,” CEO Mike Levitt said. “Our company has successfully weathered downturns in the past, and we are confident in our ability to navigate the current market turmoil.”

Amid the market downturn and extreme price volatility in cryptocurrencies, many crypto miners have reportedly sold off their own mined coins and in some cases liquidated their holdings. In June, Canadian crypto mining firm Bitfarms sold 3,000 BTC – about 47% of its holdings at the time – for $62 million as part of a strategy to improve liquidity and pay down debt.

related: Bitcoin miner Mawson will defer all major capital expenditures until market conditions return to normal

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Levitt said Core Scientific aims to expand its capacity to 30 exhash/s by the end of 2022, while “taking advantage of the looming opportunities that arise.” The company is planning to release its earnings report from the second quarter of 2022 on August 11.