Miners in a narrow place that after half takes in revenue


Block reward mining Profitability is under severe pressure in 2025, driven by 2024 bitcoin halving and escalating energy costs. The halving Sea block rewards to 3,125 BTC, while global mining problems reached a record 123T, and pressed the hash price to a low of $ 0.049 per terahash per second. For many miners, operating costs are now exceeding revenue, with some US operations that face up to $ 137,000 per bitcoin – above market prices of $ 100.00- $ 111,000.

Energy costs, which can account for 80% of operating costs, are the primary challenge. In regions such as Oman enables subsidized electricity prices of $ 0.035 per kilowatt hour profitability, but miners in Europe or parts of North America arise as high as $ 0.20 per kWh, which is unsustainable without significant efficiency gains. Upgrading to advanced rigs like Microbt’s Whatsminer M66S+ is a common strategy, but the high cost in advance – often exceeds $ 10,000 per unit – limits the availability of smaller miners.

Economic load has forced drastic measures. Companies as riot platforms (Nasdaq: riot) sold $ 38.8 million in BTC in December 2024 to cover expenses, which reflected a broader trend with liquidation of reserves to stay afloat. Smaller miners that cannot absorb Lossesleaving the industry or acquired by major players like Marathon Digital (Nasdaq: Mara), which peels hash speeds to compensate for reduced rewards through economies of scale.

To mitigate losses diversifies miners income flows. Some rent out excess of computing power for Artificial intelligence (AI) or cloud calculation, utilizes existing infrastructure to generate stable income. Others invest in Renewable energy sources In order to lower costs, it requires to scale such solutions significant time and capital. The profitability crisis emphasizes the need for relentless innovation, as miners must balance immediate economic pressure with long -term strategies to remain viable in a hyper -competitive landscape.

Look at | Bitcoin Mining 2025: Is it still worth it?

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