Crypto Mining Profitability Soars as Miners Rake In Record $32 Million in Revenue Per Day
The crypto mining industry is experiencing a surge in profitability, with miners earning a record $32 million in revenue per day.
The hashrate, a measure of the computational power needed to mine a coin, has reached an all-time high, indicating that miners are using more powerful computers to crack the complex maths puzzles that earn them a Bitcoin.
One way miners are improving their profitability is by upgrading their equipment and boosting their hashrate power, according to a recent report by Reuters.
The report noted that many mining companies are moving their operations to Central American countries where energy prices are more affordable, and governments are friendlier to cryptocurrencies.
“It’s too early to say if all bitcoin miners are out of the wood,” said Ludovic Thomas, portfolio manager at Swiss-based Criptonite Asset Management that invests in digital assets.
“Profitability increase always leads to network hashrate and difficulty increase.”
Crypto Miners Work on Efficency to Increase Profitability
While mining is still not as profitable as it was in its 2021 heyday, crypto mining companies continue to work on efficiency to increase profitability.
A measure of miners’ earnings from using 1 petahash per second of computing power in a day has risen to over $81 from $70 at the start of November but remains well below a peak of $127 in early May, according to mining data platform Hashrate Index.
The growing miner revenue comes amid recent advancements in ASIC technology, which has enabled crypto mining companies to achieve greater efficiency and reduce their environmental impact.
ASICRUN, a leading manufacturer of ASIC mining rigs, has made significant strides in improving mining efficiency.
Their latest models, the AR1, AR2, and EliteAR miners, have introduced market-leading hash rates and lower energy consumption.
Based on current market conditions, the AR1 miner has the potential to earn $1,897 for Bitcoin, $3,474 for Litecoin, and $3,591 for Dash.
The AR2 miner can bring in $3,974 for Bitcoin, $7,813 for Litecoin, and $8,011 for Dash, while EliteAR miner has the potential to earn $8,853 for Bitcoin, $19,700 for Litecoin, and $17,400 for Dash.
Meanwhile, the anticipation of a spot ETF approval has led to a surge in Bitcoin’s price in recent weeks.
The cryptocurrency rallied towards $37,000 earlier this week, driven by market speculation surrounding the potential approval of a spot ETF.