Singapore-based Bitcoin cloud miner BitFuFu doubled its revenues in the third quarter from a year earlier, driven by demand for cloud mining and equipment as miners sought to take advantage of the rising price of Bitcoin.
Total revenues increased 100% to $180.7 million compared to the same period last year, with cloud mining accounting for $122 million, according to to BitFuFu’s third quarter earnings report on Wednesday.
The increase was driven by strong demand for cloud mining solutions, users buying mining equipment, and the continued expansion of mining capacity.
BitFuFu operates its own mining farms, where it directly mines Bitcoin (BTC). In addition, it sells mining machines, provides hosting services and allows users to rent or buy hash rates for a fee.
Cloud mining demand increases with hashrate
BitFuFu’s cloud mining users grew by more than 40% to 641,526 compared to the same period last year, and mining equipment sales reached $35 million, compared to just $0.3 million at the same time last year.
The average price of Bitcoin during the third quarter of last year was $61,000, as opposed to $114,500.
“This growth reflects strong demand for mining machines, supported by the continued upward trend in Bitcoin prices,” the miner said.
The network hashrate is also on the rise and stands at 1.19 billion, compared to 687.19 million a year ago, according to to the Ycharts analysis platform. Cloud mining allows users to mine cryptocurrency without the need to maintain and upgrade hardware.
Bitcoin mining also contributed to earnings
Bitcoin miners are shifting capacity towards AI and hosting services for high-powered computing after the April 2024 halving that reduced mining rewards.
Related: TeraWulf’s Q3 revenue rose 87% as Bitcoin nearly doubled over the year
However, BitFuFu CEO Leo Lu said that continued independent Bitcoin mining continued to contribute to the company’s growth and revenue.
“Our strong third quarter results demonstrate the benefits of our differentiated two-engine model, combining recurring revenue from cloud mining with direct participation in Bitcoin’s price appreciation through our standalone mining operations.”
“This model gives us multiple levers to manage volatility and maintain profitability through cycles, and our strong balance sheet provides the flexibility to invest where returns are most attractive,” he added.
BitFuFu mined 174 Bitcoins in the third quarter and also increased its total holdings by 19% to 1,962 coins compared to the same period in 2024.
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