Bitcoin Miners Rake in Record Profits Post-Halving—Here’s Why It Matters
Bitcoin miners just hit their fattest payday since the halving—proof that crypto's backbone keeps flexing even when Wall Street sneers.
The Halving Effect: Less Supply, More Demand
Post-April 2024’s halving slashed block rewards in half, but miners aren’t just surviving—they’re thriving. With BTC’s price defying gravity and transaction fees spiking, the math works even with tighter margins.
Efficiency or Bust
Old-school rigs got purged. The survivors? Next-gen ASICs and renewable-powered farms cutting costs like a Vegas high-roller with someone else’s credit line.
The Cynical Kick
Meanwhile, traditional finance still can’t decide if Bitcoin’s a ‘tulip’ or a trillion-dollar asset—classic hedge fund whiplash.
Bitcoin miners’ monthly profits on the rise as difficulty increases
Despite seeing a rise in profits, miners have also faced several challenges, with a rise in mining difficulty and operational costs being some of them. In addition, the rewards for verifying transactions have dropped. In the last halving event in 2024, the reward dropped from 6.25 BTC to 3.125 BTC. According to the report, “daily revenue and gross profit per EH/S are 43% and 50% below pre-halving levels, respectively.” In the past month, mining difficulty increased by 9%.
Bitcoin mining difficulty measures how hard it is for miners to find a valid hash for the next block. The difficulty changes after every 2,016 blocks, which happens around every two weeks. This makes sure block time is around 10 minutes, no matter the changes in network hashrate. However, mining difficulty and hashrate are important to the network, maintaining security and Bitcoin’s stock-to-flow ratio, a metric that tracks scarcity.
According to reports, mining difficulty hit an all-time high of 127.6 trillion this week, showing that there is a growing need for computational power on the network. As it stands, average block time is presently around 10 minutes and 20 seconds, slightly above the 10-minute mark. According to data from CryptoQuant, mining difficulty dropped in June, hitting 116.9 trillion in early July. However, things started to change in late July, resuming the upward trend that has been tied to miner participation.
In addition, United Kingdom asset manager Farside Investors said that the number of coins that the top 11 miners have added cumulatively dropped in the first six months of the year. Mining operations, which require a great deal of electricity to run, face higher costs when the price of Bitcoin drops, making it harder to sustain operations. The Bitcoin mining industry is largely made up of industrial-sized operations, which are typically warehouses full of computers that process transactions on the network.
On Friday, the share price of the world’s largest miner, MARA Holdings, dropped 3.6%. Earlier in the week, the company announced that it had made a revenue of $238 million in the second quarter, representing a 64% rise from the year before. Net income also rose by 505% to a record $808 million, due in part to the fair value of MARA’s bitcoin holdings.
Want your project in front of crypto’s top minds? Feature it in our next industry report, where data meets impact.
