Business Update: January’20

January represents the second full trading month for MoonLite, and it has been a bumper month indeed. Here are some headline figures:

Revenue is up 30.1% ; EBITDA is up 53.3% ; Tokenholder benifit is up 53.3% from the previous month.

The total attributable benefit to MNL tokens holders after 2 operational months is $50,539 and represents 27.9% of the total combined token holder benefit globally, from all other ICO mining operations.

We are working on the ordering and deployment of the second phase of miners in an effort to expand our presence even further, and this will result in a 300% growth in online hash-rate.

 

Production Report (01 January'20 - 31 January'20)

Phase 1 Breakdown:

Q1 of 2020December'19
Installed Miners (SHA256)13001300
Hashrate at 100%65,000 Th/s
65 Ph/s
65,000 Th/s
65 Ph/s
Energy Rating4,22 MW (+-10%)4,22 MW (+-10%)
% of Planned Deployment Completed+-33%+-33%
Mined CurrenciesBTC - 100%
BTC - 100%

 

Production Figures:

January'20December'19
Total Mined Currency (Represented in BTC)33.2329,24
Average Conversion Price$8,509.89$7,410.76
Revenue$283,783$216,690.00
Operating Costs$173,385$144,188.68
Gross Profit$110,398$72,501.32
Overhead Costs (Non-Operational)$23,000$15,500.00
EBITDA$87,398$57,001.32
Net Profit %30,8026.31
Benefit to Token Holders from Current Period$30,589$19,950.46
Running Benefit to Token Holders$50,539.46

 

Notable Items: 

1. We run our business in EUR, but for the sake of maintaining a universal reporting standard we report in USD. All figures are rounded DOWN. 

2. We have NOT kept the 25% 'long term appreciation allocation' in crypto as per the white paper. We have not yet got the staff to manage this trading yet, hence we believed it better to convert 100% to fiat. 

3. We will introduce a Return On Investment (ROI) tracker from next month. 

Debrief & Comments

Debrief & Comments:

Our production and financial metrics have been a positive and welcome surprise this month. Frankly, they are outstanding!

Our second production month saw a 30,46% increase in BTC price and a massive difficulty jump from 13.3T to 15.5 (16.54%); This had a downward effect on the latter months' production and will be something we track closely during February. In comparison, there was a -0.025T increase in difficulty throughout December.

We will be taking the cautious approach to business and financial management in the coming 4 months ending in May, when halving will occur in the last week. The recent growth in difficulty and hash-rates has been a little bit alarming and will surely cause a reduced production in the short month of February.

We believe this to be a culmination of factors such as that we are still pre-halving and with the current elevated BTC prices, even the 13.5 and 14T miners are profitable and are certainly still in deployment. Additionally, there are a lot of new-generation miners being deployed daily. It is my belief that post-halving, we will see a drop off in global hashrate and some stability in difficulty increases due to the then-unprofitable old-gen miners being taken offline, and i hope this will have a stabilising effect on our business.

We spoke about this in the previous report, but this is precisely why our team have spent around 2 years trying to refine and develop our business model, and we believe that this is now justified since we have proven that our business can take significant advantage of positive market conditions (+53.3% month-on-month) and will be able to weather negative market trends for longer than our counterparts who have not managaed capex and ROI correctly.

 

Coming Month:

For the month of February, we will track hash-rate and difficulty closely, and hope that a double-digit growth will not be on the cards. Should this be so, we will see a notable reduction in production in this short month.

Overhead costs will remain stable.