One of the highly anticipated events in the cryptocurrency industry, Bitcoin halving, is about half a year away from now. Though the wider crypto community is excited to see the next high BTC price can go, there’s an industry that is preparing for the significant change. The crypto mining industry is buckling up for what’s coming since it’s going to affect the companies in the sector the most.
Bitcoin mining is a major chunk of operations in any cryptocurrency mining company. The BTC halving— Bitcoin mining rewards reduced to half—is going to cut the existing reward of 6.25 BTC to 3.125 BTC. The major companies seem to be getting ready for the event as it will drastically change the mining sector forever.
Mining companies will have to face the same fierce competition for the halved reward. This will automatically make the inefficient ones leave the arena as it will not be sustainable to remain profitable without applying efficient means.
Prominent Bitcoin mining companies like Marathon Digital, Riot Blockchain, Iris Energy, and several others, reportedly looking to increase their hashrate.
Bitcoin Mining Giants Involved in Advance Preps
Marathon Digital Holdings (MARA) saw a rise in production by 245% year-over-year. It accumulated 1,245 BTC in September marking a 16% increase in a month. Meanwhile, the hashrate saw a massive jump of over 500% from 3.8 exahashes/second (EH/s) to 23.1 exahashes/second (EH/s) within a year.
Such an impressive growth in Bitcoin mining ability is likely to keep MARA floating despite the potential odds around and after Bitcoin halving.
Riot Blockchain is also among the companies looking to increase their computing ability in the months to come in the wake of halving. The company plans to deploy about 33,000 BTC miners by Q2 2024. This will help inflate the hash rate capacity from 12 EH/s to 20.1 EH/s by the time.
Canadian Bitcoin mining firm, Iris Energy also announced plans to expand operations by deploying a significant number of miners prior to halving.
In its announcement made on Friday, October 6, Iris Energy stated that it will be adding 7,000 new S21 miners from Bitmain to its crypto mining fleet. This will help the company attain 7.0 EH/s, a 25% jump from existing 5.6 EH/s. The company will be spending over $19 Million to get the job done.
According to Iris Energy, it will be purchasing the miners using its existing cash and not with the help of any external financial source.
Iris Energy (IREN) stock price saw a significant increase of over 9% following the optimistic news in the company.