Texas Weather Contributes to Marathon Digital’s 21% Dip in Bitcoin Mining

Bitcoin mining firm, Marathon Digital, has reported a 21% fall in Bitcoin mined in June. The company has pointed to two main contributing factors for this downturn: the inclement weather in Texas and a substantial drop in transaction fees. On July 5th, Marathon Digital released a statement outlining these reasons behind the decrease in monthly production.

Interestingly, June represents a season change in Texas, with the shift from spring to summer. As per the National Weather Service, the average temperature for this period saw a considerable increase, from 75.6 degrees Fahrenheit in May to 84 degrees Fahrenheit in June. This transition in weather conditions appears to have had an adverse impact on Marathon Digital’s Bitcoin mining operations.

In addition to the challenging weather conditions, the company has also identified a significant decrease in transaction fees as another factor leading to the slump in Bitcoin mining. Transaction fees in June fell to about “5.1%” of Marathon Digital’s total Bitcoin earnings, a substantial reduction from the “11.8%” recorded in May.

Marathon Digital, headquartered in Texas, managed to produce a total of 979 Bitcoin during June. This figure marks a significant drop from the previous month’s production. The company specifically highlighted, “The decreased production relative to last month was due to weather-related curtailment in Texas and a significant decrease in transaction fees.”

Despite the rise in transaction fees in May due to the “emergence” of Bitcoin Ordinals and their subsequent fall as network congestion eased in June, Marathon Digital maintains a positive view. The company continues to express optimism about the “future of mining economics,” undeterred by these challenges.