Bitcoin (BTC) mining firm Riot Platforms (RIOT) has reported a second-quarter loss of $84.4 million U.S., which it blamed on costs that rose 48% from a year earlier.
The company’s Q2 loss amounted to a net loss of $0.32 U.S. per share.
Riot Platforms said the loss was due to a sharp rise in its administrative expenses, which totaled $61.2 million U.S. in the quarter.
The company said it also had to pay $32.1 million U.S. in employee stock compensation during Q2, which is tied to a long-term incentive program.
The quarterly loss also included a $76.4 million U.S. drop in the value of the Bitcoin that the company owns.
In its earnings statement, Riot Platforms said that the Bitcoin halving even that took place in April of this year lowered the amount of Bitcoin it could mine during Q2.
The halving event reduced the available supply of Bitcoin, and the rewards miners receive for it, by 50%.
Riot Platforms said that it mined 844 Bitcoin during Q2, 52% less than a year earlier.
The cost to mine Bitcoin rose 342% to $25,327 U.S. during Q2 from $5,734 U.S. a year ago due to a 68% increase in the network's hashrate.
Hashrate measures the computer power needed to process transactions on the Bitcoin network.
Essentially it is the amount of energy needed to mine Bitcoin through a complex set of computer problems and mathematical equations.
The stock of Riot Platforms is down 34% this year and trading at $10.19 U.S. per share.
