Key Highlights
- The mining company liquidated 3,778 BTC during the first quarter of 2026, generating $289.5 million at an average sale price of $76,626 per Bitcoin.
- Q1 mining output reached 1,473 BTC, representing a 4% year-over-year decline, with holdings totaling 15,680 BTC by March 31.
- Hash rate deployment increased to 42.5 EH/s, marking a 26% annual growth, while comprehensive power expenses decreased 21% to 3.0 cents per kWh.
- The firm earned $21 million from power credit programs in Q1, representing a 171% surge compared to last year’s first quarter.
- Several financial analysts reduced their price projections after reviewing Q4 2025 results, though most continue recommending the stock.
Riot Platforms liquidated significantly more Bitcoin during the first quarter of 2026 than it mined, disposing of 3,778 BTC while generating only 1,473 coins. The liquidation, averaging $76,626 per coin, yielded $289.5 million in proceeds. Bitcoin was valued at approximately $66,867 when the disclosure was made on Friday.
The miner’s Bitcoin treasury stood at 15,680 BTC at quarter-end, representing an 18% reduction from the 19,223 coins held twelve months prior. This figure encompasses 5,802 restricted coins. Blockchain analytics firm Arkham separately identified a 500 BTC transfer from a wallet associated with Riot on Thursday.
The selling trend extends beyond Riot. MARA Holdings, Genius Group, and Nakamoto Holdings combined to liquidate 15,501 BTC over the past seven days, with MARA responsible for the largest portion. Rising energy expenses represent a critical challenge. Industry expert Kadan Stadelmann identified the surge in oil prices connected to Middle East tensions — which intensified in February — as a primary catalyst driving up operating expenses.
“Mining operations are compelled to liquidate their Bitcoin holdings to maintain operational solvency,” Stadelmann explained.
Infrastructure Expansion Amid Cost Improvements
Notwithstanding the liquidation pressures, Riot’s computational capacity expanded throughout the period. Deployed hash rate climbed to 42.5 exahashes per second by quarter-end, representing a 26% increase from 33.7 EH/s in the first quarter of 2025. The quarterly average operating hash rate measured 36.4 EH/s, a 23% year-over-year improvement.
Operational efficiency metrics improved to 20.2 joules per terahash, compared to 21.0 J/TH one year earlier. Comprehensive power expenses reached 3.0 cents per kilowatt-hour, declining 21% from the 3.8 cents recorded in Q1 2025.
The company secured $21 million through various power credit mechanisms during the three-month period. This comprised $13.5 million from curtailment arrangements and $7.5 million through ERCOT and MISO demand response initiatives — reflecting a 171% annual increase.
Wall Street Revises Expectations
After analyzing Q4 2025 financial results, multiple Wall Street firms adjusted their valuations. Cantor Fitzgerald reduced its price objective to $29 from $31 while maintaining an Overweight stance. Needham decreased its target to $24 from $30, pointing to mining segment underperformance and elevated costs. H.C. Wainwright revised downward to $23 from $26 based on disappointing annual performance.
Citizens maintained its Market Outperform assessment with a $25 price target, emphasizing Riot’s Texas power infrastructure as a valuable strategic resource for potential leasing arrangements.
Stadelmann noted that operators with inferior efficiency metrics are already ceasing operations, contributing to the Bitcoin network’s hashrate decline from 1,160 EH/s to approximately 990 EH/s since early March. Network difficulty also contracted on March 20, dropping from 145 trillion to 133 trillion.
The company initiated AMD lease revenue generation in January, advancing its HPC/AI data center diversification strategy.
