Bitcoin Mining Revenue Hits Annual Record; Nation of Bhutan Explores Green Mining Opportunities
Summary:
The Bitcoin mining sector broke its annual record by earning over $44 million in block rewards and transaction fees on November 12. This revenue increase, unseen since April 2022, is attributed to the work of crypto entrepreneurs restoring investor's faith in Bitcoin. Among the individual miners and companies participating in this milestone is Marathon Digital Holdings, which observed a 670% revenue surge in the third quarter of 2023. Additionally, countries like Bhutan are making significant contributions to the sector by employing environmentally-focused techniques such as hydroelectric power.
On November 12, the Bitcoin (BTC) mining sector broke its yearly record by bringing in more than $44 million in block rewards and transaction fees. The main revenue for Bitcoin miners originates from the rewards earned by validating Bitcoin transactions and generating new blocks with high-end computer solutions referred to as mining rigs. At present, miners acquire 6.25 BTC for each block created successfully, along with the transaction fees. The daily earnings from Bitcoin mining exceeded $44 million for the first time in 2023 on November 12, a peak last reached in April 2022 as per blockchain.com data. Multiple influences resulted in a decline in Bitcoin miners' revenue worldwide between April 2022 and November 2023, including an extended bear market, hostile regulations obstructing Bitcoin transactions, and negative investor views regarding scams and ecosystem crashes. However, crypto entrepreneurs turned the tide in 2023, restoring investor faith and driving up revenue due to increased market values and growing public interest. Marathon Digital Holdings, a Bitcoin mining company, reported a 670% revenue increase year-on-year in the third quarter of 2023 due to a nearly five-fold boost in Bitcoin production. Besides mining companies and individual miners, many countries contribute to the security of the Bitcoin network through mining. For instance, the landlocked Asian nation Bhutan has been avidly mining Bitcoin using hydroelectric power since its price was $5000 in April 2019. The country is reportedly exploring collaborations to further expand its mining operations, including negotiating with Nasdaq-listed mining firm Bitdeer to secure 100 megawatts of power for a Bitcoin mining data center in Bhutan, which would boost Bitdeer's mining capacity by approximately 12%.
Published At
11/13/2023 9:50:51 AM
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