JP Morgan: Bitcoin Mining Firms Profits Fall
Reading Time: < 1 minute
According to a new report from JPMorgan, Bitcoin miners are facing financial challenges due to a combination of the network’s halving event in April and rising power costs.
The second quarter of 20203 was a significant period for miners, as they adjusted to the halving event and the resulting decrease in daily revenue.
This resulted in lower margins and profitability for miners, as reported by analysts Reginald Smith and Charles Pearce.
To deal with this, different miners have taken different approaches – those with enough cash acquired other miners with ready-to-use facilities to increase their hashrate quickly, while those with less capital focused on securing new opportunities that required less immediate investment.
Follow and like us on
