Bitcoin miner CleanSpark will join an vital benchmark for US small-cap shares, underscoring the corporate’s current string of profitability regardless of trade volatility following the April 2024 halving.
Starting March 24, CleanSpark’s inventory shall be included within the S&P SmallCap 600 Index. Because the identify implies, the index measures the efficiency of small US firms that meet particular liquidity and stability standards.
As of March 2025, the index’s constituents will need to have a market capitalization of between $1.1 billion and $7.4 billion, preserve a public float of at the least 10% of shares excellent, and have constructive trailing earnings for 4 consecutive quarters.
CleanSpark CEO Zach Bradford stated the corporate’s inclusion within the small-cap index demonstrates “the worth of being a pure play, vertically built-in Bitcoin mining firm,” which makes “publicity to our mannequin extra broadly accessible.”
Supply: CleanSpark
CleanSpark’s profits surged to $241.7 million, or $0.85 per share, within the closing quarter of 2024, up from simply $25.9 million a yr earlier. Firm-wide revenues jumped 120% on a year-over-year foundation to $162.3 million.
In February, the corporate additional bolstered its Bitcoin (BTC) stockpile by 6% and now holds 11,177 BTC on its books. Solely 4 different publicly traded firms personal extra Bitcoin.
Associated: Monthly Bitcoin production drops as miners fight rising hashrate
BTC miners below stress
Bitcoin miners have seen their revenues decline because the April 2024 halving occasion, forcing a number of trade gamers to diversify their enterprise fashions. A number of are pivoting towards artificial intelligence data centers, which may generate greater income than conventional mining.
In September, Hive Digital executives Frank Holmes and Aydin Kilic instructed Cointelegraph that repurposing Nvidia GPUs for AI duties might generate up to $2.50 per hour in revenues, up from simply 0.$12 per hour for crypto mining.
For that reason, “establishments are way more curious about us with our AI than Bitcoin,” Holmes stated.
Bitcoin miners are more and more turning towards AI functions to enhance revenues. Supply: VanEck
Different mining firms are turning to mergers and acquisitions to reduce mining costs and enhance hashrate, in accordance to an August report by JPMorgan. The Wall Road financial institution singled out firms like Riot Platforms and CleanSaprk for rising their M&A exercise within the post-halving setting.
In the meantime, “Capital-constrained miners like IREN and [Cipher] centered on securing greenfield alternatives, which require much less fast capital,” JPMorgan stated.
Journal: How Chinese traders and miners get around China’s crypto ban
