Riot Platforms Inc. (NASDAQ:RIOT), a company that profited from Bitcoin (CRYPTO: BTC) mining during the crypto boom of 2021, is now facing substantial losses and relying on energy credits to control costs.
What Happened: The Texas power grid operator the Electric Reliability Council of Texas (ERCOT), awarded Riot $31.7 million in energy credits last month after the company voluntarily curtailed its energy consumption during a severe heatwave.
Interestingly, the value of these energy credits far exceeded the worth of the 333 Bitcoins mined by Riot in August, which amounted to approximately $8.9 million. The credits significantly reduce Riot’s mining costs and contribute to the company’s position ...