TeraWulf's losses widened in the first quarter, dragged down by rising costs and declining revenues.

TeraWulf reported a net loss of approximately $61.4 million in the first quarter of 2025, a significant deterioration compared to a net loss of $9.6 million in the same period last year. The company's revenue decreased from $42.4 million in the same period of 2024 to $34.4 million, while the cost of revenue surged from $14.4 million to $24.5 million, accounting for 71.4% of total operating revenue, far exceeding the 34% of the same period last year. The company attributed the decline in revenue to "the Bitcoin halving reducing the block subsidy from 6.25 BTC per block to 3.125 BTC, the increase in network difficulty, and the extreme weather faced by mining facilities in northern New York." Additionally, "the trade tariffs introduced by President Trump" have raised concerns in the industry, believing that "import taxes will increase the costs of hardware and other infrastructure required to operate crypto nodes." In March, miners sold 40% of their mined BTC, marking the "highest monthly sell-off since October 2024," indicating a "reversal of the trend of miners accumulating BTC after the halving."