Financial Data and Key Metrics Changes - Riot reported total revenue of $153 million for the second quarter, a 5% decrease from $161.4 million in the previous quarter, primarily due to lower Bitcoin production [19] - Gross profit for the second quarter was $70.3 million, compared to $73.6 million in the prior quarter, with a gross margin of 46%, unchanged from the previous quarter [19] - Net income for the second quarter was $219.5 million, or $0.65 per share, compared to a net loss of $296.4 million, or $0.90 per share, in the prior quarter [19][20] - Non-GAAP adjusted EBITDA for the second quarter was $495.3 million, compared to a loss of $176.3 million in the prior quarter [20] Business Line Data and Key Metrics Changes - Riot increased its self-mining hash rate from 33.7 to 35.4, representing a 5% increase, while the global hash rate rose by 9% during the same period [18] - Bitcoin mining revenue totaled $140.9 million, consistent with the prior quarter's revenue of $142.9 million, with a gross margin of 50%, up from 48% in the previous quarter [21] - Direct cost to mine, excluding depreciation, totaled $48,992 per Bitcoin, with power costs accounting for 77% of total direct costs [21][22] Market Data and Key Metrics Changes - The market for data center talent is highly competitive, with significant demand for power and infrastructure that is not currently being met [49] - The demand for compute capacity is expected to continue growing, driven by the AI arms race and increasing CapEx budgets from hyperscalers [49] Company Strategy and Development Direction - Riot's strategy focuses on maximizing the value of its power portfolio and transitioning power capacity towards data centers while utilizing Bitcoin mining where advantageous [13][41] - The company aims to build a robust and scalable data center segment, leveraging its existing power assets and Bitcoin mining capabilities [7][10] - Riot has hired Jonathan Gibbs as Chief Data Center Officer to lead the development of its data center business [14][36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to capitalize on market dynamics, emphasizing the importance of having readily available power in high-demand jurisdictions [41] - The company is strategically positioned to benefit from the growing gap between power demand and supply, particularly in key markets like Dallas and Austin [40] - Management highlighted the importance of a disciplined approach to capital allocation and the potential for shareholder value creation through strategic growth initiatives [12][41] Other Important Information - Riot ended the second quarter with over 19,000 Bitcoin and $330 million in cash, representing $2.4 billion in liquidity [15] - The company is actively engaged in discussions with potential data center tenants and has made significant progress in its Bitcoin mining operations [15][29] Q&A Session Summary Question: Discussion on Bitcoin generation and huddle strategy - Management explained that selling Bitcoin production allows the company to cover operating costs and focus on growth opportunities, with plans to adjust strategies based on Bitcoin price fluctuations [44][46] Question: Market dynamics regarding power transactions - Management noted robust demand in the data center market, with a significant gap between power availability and forecasted demand, emphasizing the importance of large-scale power capacity [49][50] Question: Basis of design for data centers - Management confirmed that significant progress has been made on the basis of design, which is crucial for engaging potential tenants and advancing negotiations [55][57] Question: Long lead times and infrastructure development - Management stated that critical infrastructure has already been secured, and they are confident in their ability to meet timelines for equipment procurement [59][60] Question: Potential tenants and negotiations - Management indicated that the basis of design will enhance negotiations with potential tenants, allowing for flexibility in serving various customer types [66][68] Question: Bitcoin mining outlook and network hash rate - Management projected a year-over-year growth of approximately 26% from 2024 to 2025, with a focus on maximizing the value of their power portfolio [74]

PART I - FINANCIAL INFORMATION [Financial Statements (Unaudited)](index=5&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) This section presents Riot Platforms' unaudited condensed consolidated financial statements for Q2 and H1 2025, including balance sheets, operations, and cash flows [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets increased to **$4.29 billion** by June 30, 2025, driven by Bitcoin holdings and new debt facilities Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Current Assets** | $516,103 | $599,476 | | **Bitcoin** | $1,711,908 | $1,654,468 | | **Total Assets** | **$4,285,401** | **$3,935,307** | | **Total Current Liabilities** | $374,907 | $160,385 | | **Total Liabilities** | **$989,485** | **$791,622** | | **Total Stockholders' Equity** | **$3,295,916** | **$3,143,685** | - Key changes from Dec 31, 2024 include a decrease in cash and cash equivalents from **$277.9 million** to **$255.4 million**, and an increase in total debt (current and long-term) from **$584.6 million** to **$838.4 million**[13](index=13&type=chunk) [Condensed Consolidated Statements of Operations](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2025 saw **$219.5 million** net income due to Bitcoin fair value gains, while H1 2025 recorded a net loss Q2 2025 vs Q2 2024 Performance (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **Total Revenue** | $152,988 | $70,018 | | Bitcoin Mining Revenue | $140,889 | $55,764 | | Change in fair value of bitcoin | $470,812 | $(76,403) | | Loss on contract settlement | $(158,137) | $0 | | **Operating Income (Loss)** | $216,146 | $(117,041) | | **Net Income (Loss)** | **$219,454** | **$(84,449)** | | **Diluted EPS** | **$0.58** | **$(0.32)** | H1 2025 vs H1 2024 Performance (in thousands, except per share data) | Metric | H1 2025 | H1 2024 | | :--- | :--- | :--- | | **Total Revenue** | $314,375 | $149,314 | | Bitcoin Mining Revenue | $283,748 | $127,160 | | **Operating Income (Loss)** | $(17,728) | $86,901 | | **Net Income (Loss)** | **$(76,913)** | **$127,328** | | **Diluted EPS** | **$(0.23)** | **$0.51** | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) H1 2025 cash used in operations increased to **$353.4 million**, with financing activities providing **$372.4 million** Six Months Ended June 30, Cash Flow Summary (in thousands) | Cash Flow Category | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $(353,385) | $(100,365) | | Net cash provided by (used in) investing activities | $(40,019) | $(520,689) | | Net cash provided by (used in) financing activities | $372,351 | $505,053 | | **Net (decrease) in cash** | **$(21,053)** | **$(116,001)** | - Investing activities in H1 2025 included **$93.2 million** for property and equipment and **$86.4 million** in deposits, offset by **$131.8 million** in proceeds from bitcoin sales, a significant reduction from H1 2024's **$520.7 million** use of cash[24](index=24&type=chunk) - Financing activities in H1 2025 were driven by **$123.9 million** from ATM offerings and **$261 million** in net proceeds from new debt facilities[24](index=24&type=chunk) [Note 3. Acquisitions](index=15&type=section&id=Note%203.%20Acquisitions) The company completed key acquisitions, including Rhodium assets for **$185.0 million** and Block Mining for **$113.6 million** - Settled all litigation with Rhodium, acquired its assets at the Rockdale Facility, and terminated legacy hosting agreements for **$185.0 million**, resulting in a recognized loss on contract settlement of **$158.1 million**[47](index=47&type=chunk)[50](index=50&type=chunk) - Acquired E4A Solutions, an electrical engineering company, for approximately **$54.4 million** to support its vertically integrated strategy[51](index=51&type=chunk)[52](index=52&type=chunk) - Acquired Block Mining, a Kentucky-based bitcoin miner, for approximately **$113.6 million**, adding **60 MW** of operational capacity and access to the MISO electrical grid[60](index=60&type=chunk)[63](index=63&type=chunk) [Note 5. Bitcoin](index=21&type=section&id=Note%205.%20Bitcoin) As of June 30, 2025, the company held **19,273 bitcoin** with a fair value of **$2.07 billion** Bitcoin Holdings as of June 30, 2025 | Category | Quantity | Fair Value (in thousands) | | :--- | :--- | :--- | | Bitcoin | 15,973 | $1,711,908 | | Restricted bitcoin | 3,300 | $353,672 | | **Total** | **19,273** | **$2,065,580** | - For the six months ended June 30, 2025, the company recognized **$283.7 million** in revenue from mining **2,956 bitcoin**[82](index=82&type=chunk) [Note 12. Debt](index=33&type=section&id=Note%2012.%20Debt) Total outstanding debt reached approximately **$840 million** by June 30, 2025, including **$594.4 million** in convertible notes - Outstanding **0.75% Convertible Senior Notes** due 2030 have a principal amount of **$594.4 million**[132](index=132&type=chunk) - Entered into and fully drew down a **$200 million** credit facility with Coinbase, secured by **3,300** of the company's bitcoin[145](index=145&type=chunk)[147](index=147&type=chunk) - As of June 30, 2025, borrowings outstanding under the **$50 million** and **$20 million** revolving credit facilities were **$34.3 million** and **$20.0 million**, respectively[139](index=139&type=chunk)[143](index=143&type=chunk) [Note 17. Commitments and Contingencies](index=44&type=section&id=Note%2017.%20Commitments%20and%20Contingencies) The company faces **$83.5 million** in miner commitments and significant legal claims exceeding **$1 billion** from former customers - Remaining commitment of **$83.5 million** for the purchase of miners from MicroBT, expected to be paid during the remainder of 2025[186](index=186&type=chunk) - Legacy hosting customer SBI Crypto is claiming over **$350 million** in lost profits and **$50 million** in equipment replacement costs[201](index=201&type=chunk) - Legacy hosting customer GMO is seeking damages in excess of **$150 million** plus an additional **$496 million** for alleged wrongful termination of their agreement[202](index=202&type=chunk)[204](index=204&type=chunk) [Note 19. Segment Information](index=51&type=section&id=Note%2019.%20Segment%20Information) Riot operates in Bitcoin Mining and Engineering segments, with Q2 2025 Bitcoin Mining revenue at **$140.9 million** Segment Performance for Three Months Ended June 30, 2025 (in thousands) | Segment | Revenue from External Customers | Segment Gross Profit (Loss) | | :--- | :--- | :--- | | **Bitcoin Mining** | $140,889 | $62,714 | | **Engineering** | $10,576 | $5,728 | Segment Performance for Six Months Ended June 30, 2025 (in thousands) | Segment | Revenue from External Customers | Segment Gross Profit (Loss) | | :--- | :--- | :--- | | **Bitcoin Mining** | $283,748 | $130,755 | | **Engineering** | $24,496 | $14,166 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=55&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Riot's vertically integrated strategy, Bitcoin mining, AI/HPC expansion, and financial performance [Business Overview and Trends](index=55&type=section&id=Business%20Overview%20and%20Trends) Riot's deployed hash rate reached **35.4 EH/s** by June 30, 2025, with a dual strategy in Bitcoin mining and AI/HPC - The company is pursuing a dual-pronged strategy focusing on Bitcoin mining and developing a scalable data center platform for AI/HPC workloads[226](index=226&type=chunk) Key Bitcoin Mining Metrics | Metric | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | **Combined Deployed Hash Rate (EH/s)** | 35.4 | 31.5 | | **Total Developed Power Capacity (MW)** | 1,165 | 900 | - Cost to mine one bitcoin for Q2 2025 was **$48,992** excluding depreciation, and **$91,244** including depreciation[239](index=239&type=chunk) - The power strategy, including manual curtailment and demand response programs, generated **$8.3 million** in power credits in Q2 2025[253](index=253&type=chunk) [Results of Operations](index=68&type=section&id=Results%20of%20Operations) Q2 2025 revenue increased **118%** to **$153.0 million** due to higher Bitcoin prices and production, leading to net income - Q2 2025 Bitcoin Mining revenue increased by **$85.1 million** YoY, due to higher average bitcoin prices (**$98,800** vs **$66,004**) and a **68.9%** increase in bitcoin production[271](index=271&type=chunk) - Q2 2025 costs increased significantly, with Bitcoin Mining cost of revenue up **$42.9 million**, SG&A up **$14.7 million**, and Depreciation & Amortization up **$45.9 million** YoY[274](index=274&type=chunk)[276](index=276&type=chunk)[277](index=277&type=chunk) Adjusted EBITDA Reconciliation (in thousands) | Period | Net Income (Loss) | Adjusted EBITDA | | :--- | :--- | :--- | | **Q2 2025** | $219,454 | $495,268 | | **Q2 2024** | $(84,449) | $(75,207) | | **H1 2025** | $(76,913) | $318,931 | | **H1 2024** | $127,328 | $170,522 | [Liquidity and Capital Resources](index=75&type=section&id=Liquidity%20and%20Capital%20Resources) Riot had **$141.2 million** in net working capital as of June 30, 2025, funding operations via debt and equity offerings - As of June 30, 2025, the company had net working capital of **$141.2 million**, with cash and cash equivalents of **$255.4 million**[308](index=308&type=chunk) - In H1 2025, the company raised **$121.1 million** in net proceeds from its ATM equity program by selling **10.8 million** shares[307](index=307&type=chunk)[317](index=317&type=chunk) - Financing activities in H1 2025 provided **$372.4 million**, primarily from ATM proceeds and **$254.3 million** in net proceeds from new debt arrangements[323](index=323&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=81&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Primary market risks are Bitcoin price and power costs, with a 10% Bitcoin change impacting H1 2025 net income by **$338.4 million** - The company's main market risk exposures are the volatile price of bitcoin and the price of power for its mining operations[338](index=338&type=chunk)[341](index=341&type=chunk) Market Risk Sensitivity Analysis for H1 2025 (in thousands) | Risk Factor | 10% Increase Impact on Net Income | 10% Decrease Impact on Net Income | | :--- | :--- | :--- | | **Price of Bitcoin** | $338,388 | $(338,388) | | **Future Power Prices** | $41,537 | $(41,537) | [Controls and Procedures](index=83&type=section&id=Item%204.%20Controls%20and%20Procedures) Disclosure controls were effective as of June 30, 2025, with ongoing integration of acquired entities' internal controls - Management concluded that disclosure controls and procedures were effective at a reasonable assurance level as of June 30, 2025[343](index=343&type=chunk) - The company is integrating internal controls of Block Mining and E4A Solutions acquisitions, with full inclusion expected by year-end 2025[344](index=344&type=chunk) PART II - OTHER INFORMATION [Legal Proceedings](index=85&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in significant legal proceedings, including patent disputes and large breach of contract claims - This section incorporates by reference the disclosures in Note 17, which details ongoing litigation[345](index=345&type=chunk) [Risk Factors](index=85&type=section&id=Item%201A.%20Risk%20Factors) New risks relate to AI/HPC expansion, including execution challenges, third-party reliance, and resource diversion - New risks are identified related to the early-stage development of AI/HPC infrastructure, including potential for unforeseen challenges and budget overruns[347](index=347&type=chunk)[348](index=348&type=chunk) - The success of the AI/HPC initiative is dependent on attracting and retaining qualified third-party partners and customers[351](index=351&type=chunk) - Expansion into AI/HPC may divert capital, personnel, and power capacity from the core Bitcoin mining business, potentially diminishing its competitive position[352](index=352&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=87&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) In Q2 2025, the company repurchased **9,134 shares** to satisfy tax obligations on employee restricted stock awards - In Q2 2025, employees surrendered **9,134 shares** to the company to cover tax obligations on vested restricted stock awards[353](index=353&type=chunk)[356](index=356&type=chunk) [Other Information](index=87&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated Rule 10b5-1 trading plans during Q2 2025 - No directors or officers adopted or terminated a Rule 10b5-1 plan during the three months ended June 30, 2025[354](index=354&type=chunk) [Exhibits](index=88&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed, including key agreements and required officer certifications - Lists key agreements filed as exhibits, such as the Credit Agreement with Coinbase and the Purchase and Sale Agreement with Rhodium[357](index=357&type=chunk) - Includes required certifications from the CEO and CFO under Sarbanes-Oxley Sections 302 and 906[357](index=357&type=chunk)

Riot Reports $219.5 million in Net Income and $495.3 million in Adjusted EBITDA CASTLE ROCK, Colo., July 31, 2025 (GLOBE NEWSWIRE) -- Riot Platforms, Inc. (NASDAQ: RIOT) ("Riot" or "the Company"), a Bitcoin-driven industry leader in the development of large-scale data centers for high performance computing and bitcoin mining applications, reported financial results for the three-month period ended June 30, 2025. The accompanying presentation materials are available on Riot's website. "I am pleased to announ ...

Q2 2025 Key Accomplishments - Riot acquired an additional 238 acres at Corsicana, increasing the total acreage footprint to 858 acres[17] - Bitcoin Mining operations achieved a 50% gross margin[17] - The company's all-in power cost was $0.035 per kWh, and the hash cost was $25/PH/s/day[17] - Riot ended Q2 2025 with 19,273 BTC and $330 million in cash[18] - The company sold 1,371 BTC at an average price of $96,136 per BTC, generating proceeds of $132 million[18] Q2 2025 Financial Update - Riot produced 1,426 BTC in Q2 2025, averaging 15.7 BTC per day[22] - The company held 19,273 BTC valued at $2.1 billion, representing a $479 million increase[22] - Total revenue was $153 million, with $140.9 million from Bitcoin Mining, a 119% increase compared to Q1 2024[22] - Net income was $219.5 million, including a $470.8 million unrealized gain on bitcoin held[22] - Power curtailment credits amounted to $8.3 million[22]

Core Insights - Riot Platforms, Inc. reported a record net income of $219.5 million and adjusted EBITDA of $495.3 million for Q2 2025, driven by strong Bitcoin prices and operational efficiencies [2][5]. Financial Performance - Total revenue for Q2 2025 reached $153.0 million, a significant increase from $70.0 million in Q2 2024, primarily due to an $85.1 million rise in Bitcoin mining revenue [5]. - The company produced 1,426 bitcoins in Q2 2025, up from 844 bitcoins in the same period last year [5]. - The average cost to mine one bitcoin, excluding depreciation, was $48,992 in Q2 2025, compared to $25,329 in Q2 2024, influenced by the block subsidy halving and a 45% increase in the global network hash rate [5][17]. Operational Highlights - Bitcoin mining revenue for the quarter was $140.9 million, up from $55.8 million in Q2 2024, attributed to higher average Bitcoin prices and increased operational hash rate [5]. - Engineering revenue increased to $10.6 million from $9.6 million year-over-year, benefiting from $18.5 million in capital expenditure savings since the acquisition of ESS Metron in December 2021 [5][6]. Strategic Positioning - The company emphasizes its strong capabilities in power procurement, Bitcoin mining, and infrastructure engineering, positioning itself to maximize shareholder value [3]. - Riot's strategy focuses on optimizing its power portfolio and shifting capacity towards high-value data centers, supported by recent key hires [3]. Balance Sheet Strength - Riot maintained a robust financial position with $141.1 million in working capital, including $255.4 million in unrestricted cash and $62.5 million in marketable equity securities [10]. - The company held 19,273 bitcoins, valued at approximately $2.1 billion based on a market price of $107,174 per bitcoin as of June 30, 2025 [10].

Top 10 Public Companies by $BTC Holdings1. MicroStrategy - 607.7K2. MARA Holdings - 50K3. XXI - 37.2K4. Riot Platforms - 19.2K5. Trump Media & Technology - 18.4K6. Metaplanet - 16.3K7. Galaxy Digital Holdings - 12.8K8. CleanSpark - 12.6K9. Tesla - 11.5K10. Hut 8 Mining Corp - 10.2K ...

Core Insights - Riot Platforms, Inc. (RIOT) is set to report its second-quarter 2025 results on July 31, with a history of disappointing earnings surprises, having only surpassed estimates once in the last four quarters, resulting in an average negative surprise of 60.6% [1][4]. Group 1: Q2 Expectations - The Zacks Consensus Estimate for RIOT's revenues is $152.8 million, indicating over 100% year-over-year growth [2][9]. - The increase in Bitcoin prices by 17.8% over the past six months is expected to positively impact revenues, alongside contributions from the Corsicana Facility and E4A Solutions acquisition [2][9]. - The anticipated loss per share is 19 cents, a significant improvement from the 32 cents per share loss reported last year, attributed to enhanced efficiency from the acquisition of Rhodium mining operations [3][9]. Group 2: Earnings Prediction Model - The current model does not predict an earnings beat for RIOT, as it holds an Earnings ESP of +21.05% but a Zacks Rank of 4 (Sell), which diminishes the likelihood of a positive earnings surprise [4].

Core Viewpoint - The market anticipates Riot Platforms, Inc. (RIOT) to report a year-over-year increase in earnings and revenues for the quarter ended June 2025, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - The consensus EPS estimate for Riot Platforms is $0.09 per share, reflecting a year-over-year increase of +128.1% [3]. - Expected revenues are $152.75 million, which is an increase of +118.2% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised up by 230.12% over the last 30 days, indicating a significant reassessment by analysts [4]. - The Most Accurate Estimate for Riot Platforms is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +240.91% [12]. Earnings Surprise Prediction - A positive Earnings ESP reading suggests a potential earnings beat, especially when combined with a strong Zacks Rank [10]. - However, Riot Platforms currently holds a Zacks Rank of 4, which complicates the prediction of an earnings beat despite the positive Earnings ESP [12]. Historical Performance - In the last reported quarter, Riot Platforms was expected to post a loss of $0.25 per share but instead reported a loss of -$0.90, resulting in a surprise of -260.00% [13]. - Over the past four quarters, the company has only beaten consensus EPS estimates once [14]. Industry Comparison - SoFi Technologies, Inc. (SOFI), another player in the financial services industry, is expected to report an EPS of $0.06 for the same quarter, indicating a year-over-year change of +500% [18]. - SoFi's expected revenues are $805.44 million, up 34.9% from the previous year, with an unchanged consensus EPS estimate over the last 30 days [19].

Core Insights - Strategy (MSTR) and Riot Platforms (RIOT) are prominent Bitcoin-focused stocks, with MSTR being the largest bitcoin treasury company holding 607,770 bitcoins as of July 20, 2025, while RIOT provides infrastructure for Bitcoin mining [1][9]. Bitcoin Market Overview - Bitcoin has seen significant price increases, surpassing $120,000, driven by greater acceptance as a non-sovereign asset and increased institutional and corporate adoption [2]. - The passing of the GENIUS Act on July 17 has positively impacted digital assets by providing a legal framework for stablecoins, which must maintain a value equivalent to $1 [3]. - U.S. President Donald Trump's liberal policies and executive orders aimed at studying cryptocurrency regulations have further supported the growth of Bitcoin and related stocks [4]. Company Performance and Strategy - MSTR is on track to achieve a bitcoin yield of 25% and has raised its bitcoin dollar gain target to $15 billion, up from $10 billion [5]. - MSTR has raised $6.6 billion through equity offerings and $3.4 billion through fixed income, with plans to raise an additional $84 billion by the end of 2027 [6][7]. - MSTR is also benefiting from growing software subscription revenues and leveraging generative AI for application deployment across various industries [8]. Riot Platforms' Operations - RIOT is a vertically-integrated Bitcoin mining company, producing 1,530 Bitcoin in Q1 2025 with an uptime of over 88% and targeting a 22% hash rate growth in 2025 [9][10]. - RIOT plans to invest $155.8 million in developing its Corsicana Phase II project and is exploring the use of its power capacity for AI and High-Performance Computing [9]. - The company has seen an 8% sequential increase in Bitcoin holdings, totaling 19,223 Bitcoin as of March 31, 2025 [10]. Financial Estimates and Stock Performance - MSTR's 2025 loss estimate remains at $15.73 per share, while RIOT's estimate has improved to $1.44 per share [12][13]. - Year-to-date, MSTR shares have appreciated by 47.2%, while RIOT shares have returned 37.3% [14]. - MSTR is trading at a Price/Book ratio of 3.63X, compared to RIOT's 1.7X, indicating that RIOT is cheaper than MSTR [17][18]. Conclusion - MSTR's strategy of holding Bitcoin on its balance sheet provides a competitive edge, while RIOT's reliance on Bitcoin makes it riskier due to volatility [21]. - MSTR's diversified business model offers some investor relief, with MSTR holding a Zacks Rank of 3 (Hold) and RIOT at 4 (Sell) [21].

Core Insights - The article emphasizes that true wealth in the cryptocurrency market, particularly Bitcoin, is generated not by holding Bitcoin itself but by investing in companies that facilitate its availability, such as miners and refiners [2][3]. Company Analysis - Cleanspark Inc. is highlighted as offering the deepest discount to its 52-week high prices, presenting a significant opportunity for investors as Bitcoin prices rise [4]. - Cleanspark's stock forecast indicates a potential upside of 59.43%, with a 12-month price target of $20.38 based on analyst ratings [5]. - Institutional investors, like Vanguard Group, have increased their holdings in Cleanspark by 22.8%, indicating confidence in the company's future performance [7]. - Riot Platforms is also noted for its potential, with a 12-month stock price forecast of $17.35, suggesting a 25.18% upside [11]. - Riot Platforms has reported a net loss per share of $0.90, but forecasts predict improvement, which could lead to higher stock prices [12]. - Marathon Digital Holdings, with a market cap of $4.9 billion, is attracting more institutional interest and has a stock forecast of $20.94, indicating a 7.35% upside [14][16]. Market Trends - The article draws parallels between the current cryptocurrency market and historical commodity booms, suggesting that investing in the infrastructure supporting these assets can yield greater returns than the assets themselves [1][2]. - The smaller market capitalization of companies like Cleanspark and Riot Platforms limits their media exposure, which may present hidden opportunities for investors [10].