According to the company's latest financial report, mining firm Hut 8 recorded a net profit of $331 million for 2024. The organization has benefited significantly from the increase in the price of Bitcoin over the past year.

Hut 8 ended the year with a holding of 10,171 Bitcoin (BTC), which is equivalent to approximately $905 million at the time of writing. Much of this holding was used as collateral to purchase more ASIC mining machines.

The miner noted a sharp decline in electricity costs, with costs per megawatt-hour in the fourth quarter falling 30% year-over-year to $31.63. While Hut 8 was operating about 1,020 MW at the end of December, it has plans for more than 12,300 MW.

The company has significantly strengthened its ties with Bitmain, one of the world’s leading Bitcoin mining companies. Hut 8 has signed a deal to host Bitmain hardware that is expected to generate $125 million in annual revenue, and is also developing a next-generation ASIC miner with the firm.

Hut 8 is increasing its investment in AI infrastructure. Its subsidiary Highrise AI signed a five-year contract for GPU-as-a-Service. The company also completed a $150 million strategic investment from Coatue to support AI development.

The company's shares fell 7.25% on the day, giving it a market capitalization of $1.5 billion.

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Source: cryptonews.net