Bitcoin Mining Faces Challenges Amidst Innovation and Crisis
According to IT BOLTWISE® x Artificial Intelligence, the Bitcoin mining sector is currently navigating a period of uncertainty marked by a rare decrease in mining difficulty. For the first time in four months, the difficulty dropped from 110 to 108 trillion, despite an average hashing rate of 832 EH/s. This seemingly minor change raises questions about the sector's structural stability and future viability.
Riot Platforms has emerged as a standout example of adaptation, increasing its January production to 527 Bitcoins and boosting its energy credits by 250%. CEO Jason Les attributes this success to a "symbiosis between hardware and energy." Meanwhile, Marathon Digital faced a 13% production decline, struggling with the transition to S21 Pro Miners. Companies like Hut 8 and Bitfarms are focusing on infrastructure modernization, with Hut 8 experiencing a 27% production drop and Bitfarms a 4.7% decline. These efforts highlight the competitive nature of the industry, where only the most equipped players are likely to survive.
Riot has also adjusted its growth targets for 2025 and is exploring AI and high-performance computing at its Texas facility, aiming to utilize 600 MW of unused energy capacity. In contrast, Bitfarms is selling an unfinished mine in Paraguay to fund its U.S. expansion, signaling a shift in mining dominance from the global south to the U.S. The report notes that institutional miners are slowing their investments after a surge in ASIC purchases in 2023, potentially easing competitive pressures for smaller players. For more details, visit IT BOLTWISE® at https://www.it-boltwise.de/bitcoin-mining-ein-sektor-am-scheideweg-zwischen-innovation-und-krise.html.
Bitcoin Mining Difficulty Reaches Record High
Newsbit reports that the Bitcoin network's mining difficulty has reached a new record of 114.17 trillion at block height 883,008, following a 5.61% increase. This adjustment, which occurs every two weeks, reflects the network's growing computational power, currently at 819.21 EH/s. However, this marks a decrease of 32.79 EH/s since February 7, 2025. The rising difficulty makes mining increasingly challenging, now 114.17 trillion times harder than when Bitcoin was introduced in 2009.
Despite these challenges, block times remain efficient, averaging 9 minutes and 29 seconds, slightly below the standard 10 minutes. The network currently hosts 73 major mining companies, with Foundry leading the pack at 257 trillion hashes per second. Smaller miners, however, face significant hurdles in competing. The report suggests that the difficulty is unlikely to decrease soon, necessitating advanced equipment and substantial energy resources for competitive mining. For further insights, refer to Newsbit at https://newsbit.de/bitcoin-schwierigkeitsgrad-erreicht-rekordniveau-was-bedeutet-das-fuer-miner/.
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