Bitdeer Reports 41% Revenue Drop Amid Derivative Gains

Analysis of Revenue Decline

The significance of Bitdeer’s revenue decline lies in its reflection of broader mining challenges post-Bitcoin halving, affecting profitability and strategic planning.

Bitdeer Technologies Group reported a
Q1 2025 revenue decline of 41%, citing the impact of the April 2024 Bitcoin halving. Despite this drop, net income soared. The $503.1 million non-cash gain from derivatives, including convertible notes issued to Tether, drove profits. The company fueled its mining capacity, energizing 4.2 EH/s of new SEALMINER hardware in Q1.

Matt Kong, Chief Business Officer, highlighted achievements in their SEALMINER roadmap, elevating their self-mining hashrate to 12.4 EH/s. The financial impact on the Bitcoin mining industry is substantial, given the 50% reward reduction. Mining revenues declined broadly, as noted in Bitdeer’s 23.1% decrease in self-mining revenue. Bitdeer’s strategic orientation includes plans to scale U.S.-based high-performance computing and AI infrastructure.

“This quarter marked the continued execution of our SEALMINER roadmap. We have energized 3.7 EH/s and 0.5 EH/s of SEALMINER A1 and SEALMINER A2, respectively, bringing our self-mining hashrate to 12.4 EH/s by the end of April.” – Matt Kong, Chief Business Officer, Bitdeer Technologies Group

Revenue impacts have rippled across the industry, pushing firms like Bitfarms toward similar diversification strategies. Financial outcomes hinge on the broader acceptance of alternative revenue models and derivative use. No immediate regulatory impacts were noted, but industry observers maintain a lookout for future shifts.

Insights suggest potential financial pivoting among miners toward high-performance computing, possibly altering competitive dynamics. Such
strategic pivots may set trends for navigating post-halving challenges in the industry.