Argo Blockchain, a publicly-listed Bitcoin mining firm, has announced that it increased its daily Bitcoin production in February, despite a significant spike in network difficulty.
To put it differently, the company stated in its latest report on March 7th that it had extracted a total of 162 Bitcoin or its equivalent, indicating a daily production rate of 5.7 Bitcoin.
Network Difficulty Surge In Bitcoin Mining
The increase in production comes despite a 10% month-over-month increase in the average network difficulty. The trouble in BTC mining refers to the level of difficulty in successfully mining a block of BTC.
As the difficulty level increases, more computing power and hash rate is required to validate transactions and generate new Bitcoins.
As per the information provided by Blockchain.com, the difficulty of the BTC network escalated to unprecedented levels in February. Additionally, reaching a difficulty rate of 43 trillion on February 25th.
The next difficulty adjustment is expected to occur on March 10, and data from BTC.com estimates that the next difficulty will reach 43.4 trillion.
In 2022, during the challenging cryptocurrency market conditions. Argo Blockchain sold its primary mining facility, Helios, to Galaxy Digital, a crypto investment firm led by Mike Novogratz.
Despite utilizing Galaxy’s mining facility, Argo Blockchain experienced a decline in its BTC production following the sale of its flagship mining facility. Before the transaction, Argo was able to mine more than 200 BTC every month.
Other Bitcoin Mining Firms’ Production
Argo, along with other mining firms, seems to be unfazed by February’s Bitcoin difficulty surge, which is noteworthy. Cipher Mining, for example, managed to produce 16% more BTC than in January. While Marathon Digital increased its average daily Bitcoin production by 10% compared to the previous month.
On the other hand, the mining company Hut 8 observed a decrease in their daily Bitcoin production rate, which fell from 6 BTC in January to 5.6 BTC in February.
Despite the recent surge in Bitcoin network difficulty. Therefore, Argo Blockchain managed to increase its daily Bitcoin production rate in February.
Argo and other mining companies appear to be keeping up with the challenge for the time being. Still, it remains to be seen how the following difficulty modification will affect the mining business.