Bitdeer's Q1 2025 Revenue Drops 41% Amid Bitcoin Halving

Bitdeer Technologies Group, a prominent Bitcoin mining company, reported a significant decline in its revenue for the first quarter of 2025. The company's revenue dropped by 41% year-over-year, amounting to $70.1 million. This decline is attributed to the challenges faced by Bitcoin miners following the network's halving event in April 2024, which effectively reduced mining revenue by half.

The company's operating loss for the quarter was $3.2 million, a stark contrast to the $34.1 million profit recorded during the same period last year. Despite the revenue decline, Bitdeer reported a net income of over $400 million for the quarter. This substantial net income was primarily driven by gains on convertible notes and warrants issued to stablecoin issuer Tether in 2024.

Bitdeer's revenue decline coincides with the industry trend of miners expanding beyond Bitcoin mining and pivoting towards supplying high-performance computing (HPC) for artificial intelligence applications. The company is actively scaling its self-mining operations and executing its ASIC mining hardware roadmap. Additionally, Bitdeer is advancing plans for U.S.-based HPC and AI infrastructure.

Matt Kong, Bitdeer’s chief business officer, highlighted the company's strategic initiatives in a statement. He mentioned that as Bitdeer scales its self-mining activities and advances its ASIC roadmap, it is also making progress on plans for U.S.-based HPC and AI infrastructure. This diversification strategy aims to mitigate the impact of declining mining revenue and explore new revenue streams.

Bitdeer has been attempting to offset the loss in mining revenue by selling its energy-efficient Bitcoin mining hardware. However, the sales of this hardware have not yet fully compensated for the lost mining income. The company expects its self-mining hashrate to reach 40 exahashes per second (EH/s) by the end of 2025, leveraging its SEALMINER mining rigs and ample global power capacity to achieve rapid growth in its self-mining capabilities.

Tether, the stablecoin issuer, holds a 21% stake in Bitdeer as of March, according to regulatory filings. This investment underscores the strategic partnership between the two companies and Tether's confidence in Bitdeer's long-term prospects. Bitdeer's expansion into the U.S. market is seen as a hedge against potential trade wars, further solidifying its position in the global mining and technology landscape.