Riot Platforms Sells 475 Bitcoin for First Time in Over a Year Amid Rising Mining Costs

Riot Platforms, one of the largest publicly traded bitcoin mining firms, has resumed selling its mined Bitcoin after over a year of holding onto its reserves. The company disclosed on Monday that it sold a total of 475 BTC in April, generating approximately $38.8 million in net proceeds. The sale included 463 BTC mined that month and 12 BTC drawn from existing reserves. Riot’s last significant sale of Bitcoin occurred in January 2024.

This move comes as mining companies grapple with a shifting market landscape, especially following the April Bitcoin halving event, which effectively reduced mining rewards and increased operational pressures across the sector. Riot’s decision to liquidate some of its holdings appears to be a strategic one aimed at avoiding equity fundraising, which often dilutes shareholder value.

“We continuously evaluate the best funding sources considering a multitude of factors and prioritizing a strong balance sheet,” said Jason Les, CEO of Riot Platforms. “These sales reduce the need for equity fundraising, limiting the amount of dilution in our stock.”

As of May 5, Riot held 19,211 BTC in its corporate treasury. It is maintaining its position as one of the largest Bitcoin holders among publicly listed companies. It is trailing only Strategy (formerly MicroStrategy) and fellow mining firm MARA Holdings. Les emphasized that the company intends to maintain its long-term Bitcoin accumulation strategy while using Bitcoin sales selectively to support operations when market conditions call for it.

Despite a surge in bitcoin mining revenue, which contributed $71.5 million to its first-quarter earnings, Riot reported a net loss of $296.4 million. This is a stark contrast to the same quarter last year, when the company posted a net income of $211.8 million. The losses highlight the challenging economics of mining post-halving, particularly as the average cost to mine one bitcoin rose to $43,808 in Q1, nearly double the $23,034 recorded during the same period in 2024.

Editorial Note: This news article has been written with assistance from AI. Edited & fact-checked by the Editorial Team.

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