BitFuFu Inc(NASDAQ:FUFU) has reported second-quarter net income of $47.1 million, a 3,441% year-over-year increase, as demand for cloud mining accelerated.
What HappenedL Chairman and Chief Executive Officer Leo Lu, in an interview with Benzinga, said institutional adoption and the company's scale made cloud mining a central growth driver, with more than half of Q2 revenue from new customers.
"Cloud mining is attractive because it delivers exposure to both price appreciation and transaction fee revenue without the headaches of equipment procurement, logistics, and site operations," Lu told Benzinga.
He added that BitFuFu's scale, with 36.2 EH/s of hashrate in Q2 and 38.6 EH/s in July, ensures consistent supply and efficiency that smaller rivals cannot match.
According to BitFuFu's unaudited financial results, total revenue for the quarter reached $115.4 million, up 47.9% from the prior quarter.
Cloud mining accounted for $94.3 million, or nearly 82% of revenue, marking the highest second quarter in the company's history.
The firm said institutional clients seeking yield-enhancing Bitcoin strategies were a key contributor to this performance.
Self-mining revenue fell sharply to $14.8 million from $51.1 million a year earlier, reflecting the effects of the April 2024 halving and higher network difficulty.
Why It MattersL Still, Lu noted that vertical integration, fleet upgrades, and cheap power sourcing have lowered BitFuFu's mining costs to about $29,000 per BTC at its own sites.
Looking ahead, Lu said BitFuFu plans to reduce electricity costs through fleet upgrades and expansion of owned mining farms, pursue a self-generated energy model in North America and Africa, and explore cloud computing integrations tied to real-world assets in full compliance.
On sustainability, Lu stressed that renewable energy is "not just a reputational issue, it's an economic one," citing hydropower in Ethiopia as a cost-effective, low-carbon model.
The company ended the quarter with $211.4 million in combined cash and digital assets, up 25.8% from December 2024, and held 1,792 BTC.
Hosting capacity grew to 728 MW at quarter-end, up from 522 MW a year earlier.
Lu also addressed concerns about mining centralization, saying platforms like cloud mining allow retail and smaller institutions to participate while geographic diversification ensures no single company dominates.
"This isn't a winner-takes-all geography. It's about matching energy supply with demand," he said.
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