thecoinrepublic.com
- In its first day of trade with the Nasdaq, bitcoin renewable energy mining company Bitfarms dropped by 8.6 per cent
- Since 2019, the company has been listed on the Toronto Stock Exchange
- Bitfarms claims to have mined the most bitcoin with renewable energy out of all publicly traded cryptocurrency mining companies
Despite the firm claiming that profits have increased due to the recent drop in Bitcoin hash rate, Bitfarms’ debuting shares have been unable to escape the bearish crypto meta-trend. The highly anticipated Nasdaq debut of Bitfarms (BITF), a renewable energy-focused BTC mining firm, saw the company’s stock drop as much as 8.6% amid broader crypto market weakness.
Volatility in the prices of various bitcoin mining companies
BITF began trading at $4.04 and quickly climbed a few percent to a high of $4.11 before falling as low as $3.90 as cryptocurrency prices fell. Bitfarm’s stock ended the day at $3.96 per share.
The stock prices of publicly traded Bitcoin mining companies have plummeted in recent months. Marathon Digital Holdings (MARA) is down nearly 51% from its early-April all-time high of $56.50 after its stock last changed hands for $27.83, while Hive Blockchain (HIVE) is trading at $2.38, down 57 percent from its February high of $5.50, and Riot Blockchain (RIOT) is trading at $31.57, down nearly 60% from its February high of $77.90.
Bitfarms’ views on China’s domestic miners
Apart from the massive BTC sell-off that followed Bitcoin’s all-time high in April, the low efficiency of mining stocks has been caused by negative perceptions of the sector’s energy consumption, as well as reactions to China’s escalating crackdown on domestic miners.
However, Bitfarms claims to have benefited from the latest hash rate exodus from China as a result of the crackdown, claiming that green hydroelectricity powers 99 percent of its computation. Bitfarms stated in its manufacturing replacement on June 10: Bitfarms has earned higher transaction fees and increased its share of the total bitcoin network hashrate chinese miners’ hashrate falls. As a result, for the same amount of computational power and operational cost, Bitfarm has been earning more bitcoin.