The approaching Bitcoin halving, eagerly awaited in the cryptocurrency world, is just six months away. While the broader crypto community anticipates the potential surge in BTC prices, the crypto mining sector is actively gearing up for this pivotal event, recognizing the profound impact it will have on industry players.
Bitcoin mining constitutes a substantial portion of the operations for any cryptocurrency mining firm. With the upcoming BTC halving, where Bitcoin mining rewards will be slashed in half, reducing the current 6.25 BTC reward to 3.125 BTC, major companies are actively preparing for this transformative event.
As the halving approaches, mining companies are bracing themselves for heightened competition over the reduced rewards. Inevitably, this will force inefficient players out of the arena, as maintaining profitability without implementing efficient strategies becomes unsustainable.
Leading Bitcoin mining firms like Marathon Digital, Riot Blockchain, Iris Energy, and others are reportedly focused on increasing their hashrates to stay competitive.
Major players in the Bitcoin mining industry are deeply engaged in advanced preparations
Marathon Digital Holdings (MARA) has increased its production by an impressive 245% year-over-year, accumulating 1,245 BTC in September alone, a 16% monthly rise. Simultaneously, its hashrate has surged over 500%, going from 3.8 exahashes/second (EH/s) to 23.1 EH/s in a year. This substantial growth in Bitcoin mining capabilities positions MARA well for the upcoming Bitcoin halving event.
Riot Blockchain is also preparing for the halving by planning to deploy approximately 33,000 BTC miners by Q2 2024, increasing its hash rate capacity from 12 EH/s to 20.1 EH/s.
Iris Energy, a Canadian Bitcoin mining company, has unveiled plans for expansion in anticipation of the upcoming halving event. In their announcement on October 6th, Iris Energy revealed their intention to integrate 7,000 new S21 miners from Bitmain into their crypto mining fleet. This strategic move will propel their hash rate to 7.0 EH/s, representing a 25% increase from their current 5.6 EH/s capacity. To execute this expansion, the company is allocating over $19 million, utilizing their existing cash reserves rather than relying on external financial sources.
Following this announcement, Iris Energy’s (IREN) stock price experienced a notable surge of over 9%, reflecting the positive sentiment surrounding the company’s growth prospects.
