Major Bitcoin Miners Spent $3.6 Billion On Infrastructure
Bitcoin miners’ major player has announced their third-quarter financial report, resulting in billions of dollars in funding and spending.
According to TheMinerMag, on Nov. 28, key players in the cryptocurrency and Bitcoin mining industry published their financial reports. Since the beginning of this year, most of the publicly traded companies have raised $5 billion in funding through equity and debt financing.
The debt financing only accounts for 12.5% of the funding, around $625 million this year. Equity financing has a significant portion of $4.4 billion, with $813 million in funding in this quarter alone.
Those companies also reported the cumulative budget that has been spent on property, plant, and equipment (PP&E), which amounts to $3.6 billion. This spending on infrastructure for Bitcoin mining rose after global computing power dedicated to Bitcoin mining, also called hashrate, surged.
“Recently hit an all-time high near 790 exahashes per second or 790 EH/s (7-day moving average) despite the Bitcoin halving,” TheMinerMag mentioned.
Miners also committed to purchasing hardware for up to $2 billion between July 2023 and September 2024. The ASIC mining tools are still dominated by Bitmain, which captures a significant portion of purchases.
Bitcoin miners have played a significant role in the crypto industry, specifically for Bitcoin, due to their contributions to minting the crypto and selling it to the market. However, miners also faced another level of challenge in operations and regulations in several countries.
Recently, the U.S. Customs and Border Protections detained imported Bitcoin mining equipment, including Bitmain Antiminer ASIC miner, at the ports due to a request from the Federal Communications Commission.
The Russian government also targeted Bitcoin miners to be banned after an energy deficit occurred in the country. They also aim to tax profitable mining operators with a 15% personal income tax rate.
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