Bitcoin mining company Marathon Digital reckons that Bitcoin mining in June has dropped 21% due to extreme weather conditions in Texas and a significant drop in transaction fees, according to a statement on July 5.

The Texas-based company's core operations generated 979 Bitcoins, markedly less than last month due to the impact of the spring-to-summer transition.

National Weather Service data shows a significant increase in temperatures in Texas, with an increase of 8.4 degrees Fahrenheit from an average of 75.6 degrees in May to 84 degrees in June.

Such changes in weather conditions have historically demonstrated disruption to crypto mining operations in the state.

For instance, Riot Platforms, another cryptocurrency mining company, had to suspend operations when their 17,040 rigs went down due to severe winter weather in February.

Adding to Marathon Digital's challenges, the company's transaction fees fell to around 5.1% of total Bitcoin earnings in June, down from 11.8% in May.

This drop comes despite increased transaction fees due to the introduction of Bitcoin Ordinals in May.

Although network congestion eased in June, Marathon Digital maintains an optimistic view on the long-term profitability of mining.

The recent downturn highlights the sensitivity of cryptocurrency mining to external factors, especially weather conditions.

In 2022, Argo Blockchain, another cryptocurrency mining company operating in West Texas, was forced to suspend mining operations due to a conservation warning issued by the Electrical Reliability Council of Texas.

In contrast, a July 5 report by Coin Metrics, a crypto analytics platform, revealed a bright spot for the entire industry:

The bitcoin miner accumulated $184 million in transaction fees in Q2 2023, surpassing the total fee income for the whole of 2022. Despite the individual setbacks, this shows the overall trend. growing industry.