American Bitcoin Scales Mining Power as Industry Splits on Strategy

The move arrives as listed miners navigate post-halving economics, with industry estimates placing average all-in production costs around $77,000–$87,000 per BTC amid a network hashrate near 950–1,000 EH/s and BTC trading near $76,000–$78,000.

Hashrate expansion advances accumulation

American Bitcoin, a majority-owned subsidiary of Hut 8 Corp., crossed 7,000 BTC in its treasury in March. The company continues to prioritize direct accumulation over outright purchases, aiming to generate BTC through operations while optimizing energy costs.

"As Bitcoin matures, the priority is clear: grow American-owned, professionally operated hashrate," said Eric Trump, co-founder and chief strategy officer. "That’s how we protect the network, drive innovation, and lead the future of Bitcoin in America."

President Matt Prusak added: "Every decision we make is oriented around maximizing Bitcoin accumulation. This deployment reflects our operating model in practice, turning execution and efficiency gains into lower-cost Bitcoin for shareholders."

Drumheller reactivation signals efficiency focus

The new high-efficiency machines operate at 13.5 J/TH. Their addition lifts the company’s total owned fleet to approximately 89,242 machines with 28.1 EH/s capacity, representing roughly a 12% increase in hashrate. The Drumheller site, a previously idled 42 MW facility, benefits from Alberta’s flexible energy market, which supports opportunistic power use and competitive rates. Reactivating it with modern hardware improves the company’s fleet-wide average efficiency to 16 J/TH.

Financial pressures test mining models

American Bitcoin and its parent reported a $302mn loss for Q4 2025, largely from unrealized swings in crypto holdings. Shares have faced pressure, trading near critical Nasdaq thresholds at times, even as the firm builds its treasury.

Post-halving dynamics have compressed margins industry-wide, with many operators seeing cash costs near or above current BTC prices. Success hinges on securing low power rates, efficient hardware and disciplined capital allocation.

Miners chart divergent strategies

Peers have taken contrasting approaches. Marathon Digital Holdings (MARA) sold more than 15,000 BTC for roughly $1.1bn to reduce debt and fund AI infrastructure, boosting its share price. Core Scientific has pivoted further, liquidating crypto holdings to redirect capital toward AI data centres.

Riot Platforms (RIOT), meanwhile, maintains a strong focus on Bitcoin mining with a large hashrate (around 36–42 EH/s operational) and energy optimization tools, though it too explores power monetization opportunities.

Policy tailwinds loom for domestic miners

Upcoming network difficulty adjustments could provide near-term relief. The Bitcoin network recently saw a 2.4% difficulty drop to around 136tn in mid-April, with further recalibrations expected every two weeks as hashrate fluctuates near 950–1,000 EH/s. Longer term, US policy developments such as the proposed Mined in America Act – introduced in March by Senators Bill Cassidy and Cynthia Lummis – could offer tailwinds through voluntary certification, incentives for domestic or allied hardware, and alignment with a Strategic Bitcoin Reserve.