Nasdaq-Listed Bitcoin Miner CleanSpark to Launch in-House Trading Desk
CleanSpark, a U.S.-based public mining company, has revealed its intent to establish an internal cryptocurrency trading desk to optimize the potential of its bitcoin reserves, as announced recently. Bloomberg reports the company’s ambition to leverage its holding of over 2,500 BTC amidst the cryptocurrency price surge, driven by the anticipation of an imminent approval of a Bitcoin ETF.
The initiative aligns with strategies previously observed in the crypto mining sector. Marathon, another public cryptocurrency miner, opted for selling call options to capitalize on its holdings.
Zachary Bradford, CEO of Cleanspark, highlighted the economic benefits of internalizing this process rather than engaging third-party entities. He said:
We really think that doing it ourselves is the best way especially with the large Bitcoin balance we have. It just makes financial sense to do it in-house.
This move resonates with CleanSpark’s earlier strategy outlined during its Q4 2023 earnings call, emphasizing a proactive approach to deploying its bitcoin holdings as a strategic treasury asset. Bradford anticipates an emerging trend among cryptocurrency miners to integrate in-house cryptocurrency trading desks into their operational frameworks. He stated:
I think what will happen is miners like ourselves will start having trading desks in-house. That way, you can manage it with your own risk profiles and expertise and keep a really close eye on it.
CleanSpark has experienced a financial upturn, mirroring the trajectory of other Bitcoin-affiliated companies, with its stock price surging from over $2 in January to surpassing $13 in December. Additionally, the company has made substantial preparations for the forthcoming bitcoin halving, including the acquisition of 22,000 S21 Antminers from Bitmain in October, boosting its hashrate by 4.4 exahash per second (EH/s).
The Company mined 7,391 bitcoins in 2023, a 60% increase over 2022, while bitcoin holdings grew over 1,200% to 3,002 BTC valued at approximately $135M USD for December, the Company mined a record 720 bitcoins.
CleanSpark sold 293 BTC in December 2023 at an average of approximately $42,700 per BTC. Sales of BTC equated to proceeds of approximately $12.5 million. December daily BTC mined averaged 23.2 and reached a high of 29.8.
