Japan’s GMO crypto business earns $2.3m Q2 profit
Japanese internet services player GMO says it recorded 255m yen in second quarter operating profits – around £1.8m or $2.3m. Net revenues came to, in dollar terms, $23m. There were few financial details for crypto operations in Q2 overall (see link to report).
“Although the expansion and mining equipment progressed as planned and recorded sales of 1.2bn yen, mining profitability declined due to deterioration of the macro environment,” said GMO, indicating heavy price pressure.
New mining emphasis
Coindesk reported that the crypto segment divided between mining at 47% and exchange at 53%. Coindesk also reported that operating costs for GMO were $21m for the last three months with a net loss of $6.6m for the first quarter.
It appears GMO upped its mining capacity for the last quarter with 528 coins minted in June alone. Compare that figure to the 512 total mined for the whole of the first quarter.
Recently GMO unveiled its first Japan-only developed mining device. This indicated GMO would be providing competition to a segment dominated by Bitmain. Bitmain builds more than 75% of all ASIC miners, crucial for effective mining. An ASIC rig has a more singular purpose than a desktop PC.