Coin Metrics: Mining companies' profits decline after halving, and the industry faces consolidation
According to BlockBeats, on July 8, according to Crowdfundinsider, crypto data company Coin Metrics released a report on the current state of the Bitcoin mining market, pointing out that since the Bitcoin halving in April, mining profit margins have been under pressure, BTC prices have stagnated, and the fee market has been sluggish, although short-term on-chain congestion has eased some revenue pressure. On April 20, the Bitcoin block reward dropped from 6.25 BTC to 3.125 BTC per block. Rune speculation brought about fee increases, but gradually subsided in the following weeks. May and June were very difficult months for miners.
The report stated that Bitcoin mining companies are about to enter an era of consolidation, and well-funded miners will acquire assets of less efficient operators. "To survive the impact of efficiency improvements and competitive pressures, mining companies must look to the future, and the long-term trend of BTC prices remains an unpredictable investment for highly capital-intensive business models."
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