Bitcoin Mining Hashrate Increases 104%, Raising Questions on Sustainability and Profitability

According to Foresight News, CoinShares' 2023 mining report reveals that Bitcoin mining hashrate has grown by 104%, leading to concerns about its environmental sustainability and profitability, particularly in terms of network efficiency and energy costs. The average production cost for each Bitcoin is expected to be $37,856 after the halving. Most miners will face challenges in covering sales and administrative expenses, and will need to reduce costs to remain profitable. Only Bitfarms, Iris, CleanSpark, TeraWulf, and Cormint are expected to continue making profits unless the Bitcoin price stays above $40,000.