Bitcoin mining companies find themselves at a critical crossroads as the dust settles from the April 2024 halving, with new production data revealing the stark impact of reduced block rewards against a backdrop of massive options expiry worth $102 billion in notional value.
TL;DR
- Marathon Digital Holdings produced 590 BTC in June 2024, a 40% year-over-year decline attributed to the April halving
- Riot Platforms reached 22 EH/s in deployed hashrate, exceeding its Q2 2024 target, while mining 255 BTC during the month
- $102 billion in Bitcoin and Ethereum options expired on June 28, with 107,000 BTC options worth $6.6 billion and 1.04 million ETH options worth $3.6 billion
- Bitcoin traded around $60,320, approaching its max pain point of $57,000
- Marathon Digital launched a pilot project in Finland using mining heat for residential heating
Marathon Digital Reports 40% Production Decline
Marathon Digital Holdings, the largest publicly traded Bitcoin miner by hashrate, reported production of 590 BTC in June 2024 — a dramatic 40% decrease compared to the same period in 2023. Month-over-month, the figure dropped by 4% from May levels. The decline comes as a direct consequence of the April 2024 halving, which reduced block rewards from 6.25 BTC to 3.125 BTC.
Despite the production headwinds, Marathon managed to increase its total hashrate by 8% to 31.5 EH/s, with an average operational hashrate of 26.3 EH/s for the month. The company held 18,536 BTC as of June 30, choosing not to sell any of its digital assets during the period. Marathon CEO Fred Thiel noted that transaction fees accounted for nearly 7% of total production volume, partially offsetting the reduced block rewards.
In a move signaling diversification, Marathon also began mining Kaspa (KAS) alongside Bitcoin, aiming to supplement its revenue streams in the post-halving environment.
Riot Platforms Hits 22 EH/s Milestone
Riot Platforms delivered a more optimistic picture, reaching 22 EH/s in deployed hashrate and exceeding its Q2 2024 target. The company produced 255 Bitcoin during June, maintaining steady output despite the challenging economics of the post-halving landscape.
Riot’s ability to scale hashrate while managing costs has positioned it as one of the more resilient mining operations in 2024. The company’s Corsicana facility expansion continues to drive capacity growth, with additional mining modules coming online throughout the quarter.
$102 Billion Options Expiry Adds Pressure
June 28 marked one of the largest options expiry events in cryptocurrency history, with a combined $102 billion in notional value across Bitcoin and Ethereum derivatives. Specifically, 107,000 BTC options with a notional value of $6.6 billion and 1.04 million ETH options worth $3.6 billion expired on this date.
The Put/Call ratio for Bitcoin stood at 0.5, indicating more call options than puts — a sign that traders maintained a broadly bullish outlook despite the recent market correction. Ethereum showed a similar pattern with a Put/Call ratio of 0.59. The max pain point — the price at which the greatest number of options contracts expire worthless — was $57,000 for Bitcoin and $3,100 for Ethereum.
With Bitcoin trading around $60,320 on June 28, the price remained above the max pain level, suggesting that market makers had limited incentive to push prices further downward. However, the sheer volume of expiring contracts introduced significant short-term volatility, impacting mining profitability calculations.
Marathon’s Finland Pilot: Mining Heat Meets District Heating
In an innovative approach to energy utilization, Marathon Digital launched a pilot project in Finland that captures the heat generated during Bitcoin mining and redirects it for residential heating. The initiative represents a growing trend among mining companies to address environmental concerns while creating additional revenue streams.
The Finland project could serve as a model for future mining operations in Nordic countries, where district heating systems are widely used and renewable energy is abundant. If successful, Marathon plans to expand the concept to other locations across Europe.
Industry-Wide Mining Economics Shift
The post-halving environment has created a stark divide between well-capitalized mining operations and smaller players. Companies with access to cheap energy, efficient hardware, and strong balance sheets are weathering the transition, while marginally profitable miners face mounting pressure to upgrade equipment or exit the market entirely.
Argo Blockchain, for instance, reported mining just 44 BTC in June with revenue of $2.9 million — essentially flat compared to May. The company held digital assets equivalent to only 11 BTC as of June 30, highlighting the tight margins facing smaller operations.
Publicly-listed miners currently control up to a quarter of Bitcoin’s total hashrate, according to industry estimates. This concentration has accelerated the trend toward institutional-grade mining operations, with companies increasingly exploring AI computing and high-performance computing as supplementary revenue sources.
Why This Matters
The June 2024 mining data offers a clear snapshot of the post-halving transition that will define the Bitcoin mining industry for the next four years. With block rewards permanently halved, only the most efficient operations will thrive, and the pressure to innovate — whether through energy recycling, diversification into alternative coins, or expansion into AI computing — has never been greater. The massive options expiry on June 28 adds another layer of complexity, as mining companies must navigate not only reduced production but also the volatile price swings that large derivative expirations can trigger. For investors tracking the mining sector, the divergence between leaders like Marathon and Riot versus smaller players like Argo offers a preview of the consolidation that likely lies ahead.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency mining involves significant risk, and past performance does not guarantee future results. Always conduct your own research before making investment decisions.
marathon mining kaspa alongside btc tells you everything about post-halving margins. theyre literally diversifying into meme-tier alts to keep the lights on
the finland heating project is actually brilliant. waste heat from asics warming homes is the kind of thing that makes mining sustainable long term, even at 3.125 rewards
^ was thinking the same thing. Marathon holding all 18,536 BTC while mining kaspa on the side is a weird flex but i guess it works
107k BTC options expiring with max pain at 57k while price sat at 60k… someone made a killing on those puts