How do you explain mining profitability tightening even with high prices?

Fred Thiel
Replied byFred Thiel

Chairman and CEO, MARA Holdings at MARA Holdings

Niche: Cryptocurrency, AI, Technology, Finance
Revenue: $1M+/month
Location: USA
Started: 2010

Two things matter: the reward per block and how many blocks you win, which depends on your share of global hash rate. Global hash rate grew all year, so difficulty got harder. If you did not add capacity, you went backwards. Cost structure decides who survives when price dips.

0
From the Full Interview

This answer is part of a full interview with Fred Thiel, Chairman and CEO, MARA Holdings at MARA Holdings.

Share this Answer

Found this insight valuable? Share it with your network to help others learn from Fred Thiel's experience.

Related Answers

No related answers found.