• BTC Dominance: %
XBT.Market
Advertisement
  • Home
  • Coins MarketCap
  • Crypto Exchanges
  • Crypto Calculator
  • Top Gainers and Loser
  • News
  • Contact Us
No Result
View All Result
XBT.Market
No Result
View All Result
Home Bitcoin

Will the Bitcoin mining industry collapse? Analysts explain why crisis is really opportunity

Jon Hartney by Jon Hartney
July 29, 2022
in Bitcoin, Blockchain, Business, Market
0
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter

Many BTC miners are in a tough spot and a few could collapse, but experts say the industry is here to stay.

Bitcoin mining involves a delicate balance between multiple moving parts. Miners already have to face capital and operational costs, unexpected repairs, product shipping delays and unexpected regulation that can vary from country to country — and in the case of the United States, from state to state. On top of that, they also had to contend with Bitcoin’s precipitous drop from $69,000 to $17,600. 

Despite BTC price being 65% down from its all-time high, the general consensus among miners is to keep calm and carry on by just stacking sats, but that doesn’t mean the market has reached a bottom just yet.

Related articles

Bitcoin derivatives data shows room for BTC price to move higher this week

January 23, 2023

Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher

January 22, 2023

In an exclusive Bitcoin miners panel hosted by Cointelegraph, Luxor CEO Nick Hansen said, “There’s going to definitely be a capital crunch in publicly listed companies or at least not even just publicly listed companies. There’s probably close to $4 billion worth of new ASICs that need to be paid for as they come out, and that capital is no longer available.”

Hansen elaborated with:

“Hedge funds blow up very quickly. I think miners are going to take 3 to 6 months to blow up. So we’ll see who’s got good operations and who’s able to survive this low margin environment.”

When asked about future challenges and expectations for the Bitcoin mining industry, PRTI Inc. advisor Magdalena Gronowska said:

“One of the biggest challenges that we’ve had in this transition to a low-carbon economy and reducing GHG emissions has been an underinvestment in technology and infrastructure by the public and private sectors. What I think is really amazing about Bitcoin mining is that it’s really presenting a completely novel way to fund or subsidize that development of energy or waste management infrastructure. And that’s a way that’s beyond those traditional taxpayer or electricity ratepayer pathways because this way is based on a purely elegant system of economic incentives.”

Will Bitcoin destroy the environment?

As the panel discussion shifted to the environmental impact of BTC mining and the widely held assumption that Bitcoin’s energy consumption is a threat to the planet, Blockware Solutions analyst Joe Burnett said:

“I think Bitcoin mining is just not bad for the environment, period, I think if anything, it incentivizes more energy production, it improves grid reliability, and resilience and I think it will likely lower retail electricity rates in the long term.”

According to Burnett, “Bitcoin mining is a bounty to produce cheap energy, and this is good for all of humanity.”

Related: Texas a Bitcoin ‘hot spot’ even as heat waves affect crypto miners

Will industrial Bitcoin mining catalyze the long-awaited “mass adoption” of crypto?

Regarding Bitcoin mining dominance, the future of the industry and whether or not the growth of industrial mining could eventually lead to crypto mass adoption, Hashworks CEO Todd Esse said, “I believe that most of the mining down the road will be held in the Middle East and North America, and to some extent Asia. Depending upon how much they are eventually able to cut off. And that really speaks to the availability of natural resources and the cost of power.”

While it is easy to assume that growing synergy between big energy companies and Bitcoin mining would add validity to BTC as an investment asset and possibly facilitate its mass adoption, Hansen disagreed.

Hansen said:

“No, certainly not, but it is going to be the thing that transforms everyone’s life whether they know it or not. By being that buyer of last resort and buyer of first resort for energy. It’s going to transform energy, energy markets and the way it is produced and consumed here in the US. And overall, it should significantly improve the human condition over time.

Don’t miss the full interview on our YouTube channel and don’t forget to subscribe!

Disclaimer. Cointelegraph does not endorse any content of product on this page. While we aim at providing you all important information that we could obtain, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor this article can be considered as an investment advice.

Read Entire Article
Tags: CointelegraphCryptocurrencyInvestmentMining Bitcoin
Share76Tweet47

Related Posts

Bitcoin derivatives data shows room for BTC price to move higher this week

by Jon Hartney
January 23, 2023
0

BTC options data suggest that the Bitcoin price rally still has legs, even with wider economic concerns growing and the

Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher

by Jon Hartney
January 22, 2023
0

BTC could take a break from its sharp rally and if BTC price bounces off underlying support, APE, MANA, AAVE...

Genesis bankruptcy case scheduled for first hearing

by Jon Hartney
January 22, 2023
0

The first hearing in Genesis Capital's bankruptcy case will be held on January 23, according to court filings

Terra lending protocol Mars to launch mainnet

by Jon Hartney
January 22, 2023
0

The Mars Hub will launch an independent Cosmos application chain and issue MARS to users who hold the token during...

Central African Republic eyes legal framework for crypto adoption

by Jon Hartney
January 22, 2023
0

A 15-member committee is tasked with working on a legal framework that will allow cryptocurrencies to operate in

Load More
  • Trending
  • Comments
  • Latest

Ethereum Classic gets ‘endorsement’ from Vitalik Buterin, but ETC price still risks 50% crash

July 27, 2022

Critique on Helium’s $6.5K monthly revenue causes a stir

July 28, 2022

All aboard! Elon Musk’s Vegas Loop now taking Dogecoin payments

July 7, 2022

Cardano Vasil hard fork hit with another delay for several weeks

July 29, 2022

All aboard! Elon Musk’s Vegas Loop now taking Dogecoin payments

0

Crypto owners banned from working on US Government crypto policies

0

Korean startup Uprise lost $20M shorting LUNC

0

Ethereum testnet Merge mostly successful — ‘Hiccups will not delay the Merge.’

0

Bitcoin derivatives data shows room for BTC price to move higher this week

January 23, 2023

Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher

January 22, 2023

Genesis bankruptcy case scheduled for first hearing

January 22, 2023

Terra lending protocol Mars to launch mainnet

January 22, 2023

XBT.Market

This website is an automated news feed powered by the Nebulome cloud system. The site is made possible by YYC TECH Consulting and Alberta Digital Mining Company. As a team with major crypto and bitcoin enthusiasm, we have curated major sources of news, trading and financial data to bring you, our viewer, an unbiased source of truth.

Recent Posts

  • Bitcoin derivatives data shows room for BTC price to move higher this week January 23, 2023
  • Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher January 22, 2023
  • Genesis bankruptcy case scheduled for first hearing January 22, 2023
  • Terra lending protocol Mars to launch mainnet January 22, 2023
  • Central African Republic eyes legal framework for crypto adoption January 22, 2023

News Categories

  • Bitcoin
  • Blockchain
  • Business
  • Market

Tags

bitcoinMagzine Cointelegraph Cryptocurrency insidebitcoins Investment Mining Bitcoin NewsBTC

Quicklinks

  • Home
  • Coins MarketCap
  • Crypto Exchanges
  • Crypto Calculator
  • Top Gainers and Loser
  • News
  • Contact Us

© 2022 Xbt.Market - Powered by YYC Tech Consulting & ADMCO.

No Result
View All Result
  • Home
  • Coins MarketCap
  • Crypto Exchanges
  • Crypto Calculator
  • Top Gainers and Loser
  • News
  • Contact Us

© 2022 Xbt.Market by Nebulome.

  • bitcoinBitcoin(BTC)$22,941.00-1.40%
  • ethereumEthereum(ETH)$1,648.32-1.34%
  • USDEXUSDEX(USDEX)$1.07-0.53%
  • tetherTether(USDT)$1.00-0.24%
  • binancecoinBNB(BNB)$327.61-1.60%
  • usd-coinUSD Coin(USDC)$1.00-0.13%
  • rippleXRP(XRP)$0.397550-1.53%
  • Binance USDBinance USD(BUSD)$1.00-0.06%
  • cardanoCardano(ADA)$0.394303-1.51%
  • dogecoinDogecoin(DOGE)$0.090280-2.80%
  • matic-networkPolygon(MATIC)$1.302.50%
  • OKBOKB(OKB)$45.28-0.74%
  • SolanaSolana(SOL)$23.16-3.27%
  • Lido Staked EtherLido Staked Ether(STETH)$1,646.40-1.30%
  • Shiba InuShiba Inu(SHIB)$0.000014-4.22%
  • polkadotPolkadot(DOT)$6.75-2.87%
  • litecoinLitecoin(LTC)$99.19-1.64%
  • AvalancheAvalanche(AVAX)$20.06-4.02%
  • tronTRON(TRX)$0.0667551.19%
  • UniswapUniswap(UNI)$6.79-2.97%
  • daiDai(DAI)$1.00-0.09%
  • cosmosCosmos Hub(ATOM)$15.161.38%
  • wrapped-bitcoinWrapped Bitcoin(WBTC)$22,949.00-1.20%
  • chainlinkChainlink(LINK)$7.13-1.34%
  • ToncoinToncoin(TON)$2.28-3.67%
  • ethereum-classicEthereum Classic(ETC)$22.59-2.66%
  • leo-tokenLEO Token(LEO)$3.36-0.42%
  • moneroMonero(XMR)$165.57-1.78%
  • bitcoin-cashBitcoin Cash(BCH)$131.29-3.33%
  • Aerarium FiAerarium Fi(AERA)$7.14-13.09%
  • AptosAptos(APT)$15.05-6.18%
  • stellarStellar(XLM)$0.091114-1.31%
  • NEAR ProtocolNEAR Protocol(NEAR)$2.614.33%
  • Lido DAOLido DAO(LDO)$2.590.71%
  • CronosCronos(CRO)$0.0844381.40%
  • ApeCoinApeCoin(APE)$5.74-3.93%
  • filecoinFilecoin(FIL)$5.43-2.91%
  • algorandAlgorand(ALGO)$0.2879732.45%
  • QuantQuant(QNT)$139.11-1.86%
  • HederaHedera(HBAR)$0.0756211.24%
  • vechainVeChain(VET)$0.025854-0.66%
  • Internet ComputerInternet Computer(ICP)$5.71-3.25%
  • The GraphThe Graph(GRT)$0.178852-12.14%
  • The SandboxThe Sandbox(SAND)$0.84-8.90%
  • FantomFantom(FTM)$0.53-10.88%
  • decentralandDecentraland(MANA)$0.76-5.91%
  • Axie InfinityAxie Infinity(AXS)$11.861.29%
  • AaveAave(AAVE)$86.77-2.39%
  • eosEOS(EOS)$1.08-2.86%
  • FlowFlow(FLOW)$1.14-1.71%
  • MultiversXMultiversX(EGLD)$46.03-2.68%
  • theta-tokenTheta Network(THETA)$1.14-4.60%
  • tezosTezos(XTZ)$1.230.29%
  • Terra Luna ClassicTerra Luna Classic(LUNC)$0.000182-2.53%
  • FraxFrax(FRAX)$1.000.03%
  • paxos-standardPax Dollar(USDP)$0.99-0.22%
  • true-usdTrueUSD(TUSD)$1.00-0.14%
  • Frax ShareFrax Share(FXS)$12.59-1.45%
  • huobi-tokenHuobi(HT)$5.35-3.81%
  • kucoin-sharesKuCoin(KCS)$8.68-0.36%
  • Curve DAOCurve DAO(CRV)$1.133.19%
  • havvenSynthetix Network(SNX)$2.69-8.38%
  • ChilizChiliz(CHZ)$0.156218-4.36%
  • bitcoin-cash-svBitcoin SV(BSV)$42.62-2.04%
  • ImmutableXImmutableX(IMX)$1.02-4.81%
  • Rocket PoolRocket Pool(RPL)$41.30-4.16%
  • PancakeSwapPancakeSwap(CAKE)$4.672.15%
  • eCasheCash(XEC)$0.000038-0.61%
  • USDDUSDD(USDD)$0.99-0.12%
  • dashDash(DASH)$64.25-2.10%
  • BitTorrentBitTorrent(BTT)$0.000001-1.07%
  • makerMaker(MKR)$772.81-2.67%
  • BitDAOBitDAO(BIT)$0.600.34%
  • iotaIOTA(MIOTA)$0.246572-2.06%
  • Mina ProtocolMina Protocol(MINA)$0.83-4.93%
  • KlaytnKlaytn(KLAY)$0.208692-2.78%
  • neoNEO(NEO)$9.15-0.34%
  • GateGate(GT)$4.42-0.25%
  • Trust WalletTrust Wallet(TWT)$1.53-4.53%
  • OKCOKC(OKT)$34.306.45%
  • ArweaveArweave(AR)$12.04-5.90%
  • OptimismOptimism(OP)$2.76-9.15%
  • OsmosisOsmosis(OSMO)$1.121.82%
  • zcashZcash(ZEC)$45.16-3.66%
  • cUSDCcUSDC(CUSDC)$0.022725-0.10%
  • gemini-dollarGemini Dollar(GUSD)$1.000.06%
  • GMXGMX(GMX)$67.16-6.82%
  • THORChainTHORChain(RUNE)$1.88-3.82%
  • singularitynetSingularityNET(AGIX)$0.468769-18.43%
  • cDAIcDAI(CDAI)$0.022153-0.05%
  • Baby Doge CoinBaby Doge Coin(BABYDOGE)$0.0000004.14%
  • Tokenize XchangeTokenize Xchange(TKX)$6.780.79%
  • RenderRender(RNDR)$1.72-19.54%
  • enjincoinEnjin Coin(ENJ)$0.51-4.22%
  • RadixRadix(XRD)$0.050154-0.61%
  • PAX GoldPAX Gold(PAXG)$1,861.80-0.05%
  • zilliqaZilliqa(ZIL)$0.0308250.38%
  • Fetch.aiFetch.ai(FET)$0.468119-12.53%
  • Convex FinanceConvex Finance(CVX)$6.36-4.41%
  • cETHcETH(CETH)$33.16-1.91%