Major Public Miners Increase Production as Smaller Operators Capitulate

Bitcoin’s average monthly hashrate continued its decline in June, dropping to 580 EH/s from 599 EH/s in May and 625 EH/s in April. This decline indicates significant capitulation among unprofitable operators following Bitcoin’s halving. Despite this, the daily production benchmark increased from 0.8 BTC/EH/s in May to 0.83 BTC/EH/s in June, allowing companies with steady hashrate to mine more BTC, according to TheMinerMag.

Major public mining companies such as Bitdeer, Bitfarms, CleanSpark, Cipher, Marathon, and Riot have reported their June production updates. Notably, Bitfarms, CleanSpark, Cipher, and Riot increased their realized hashrate by 4.18 EH/s collectively. This expansion occurred while smaller, unprofitable miners were forced to unplug machines due to low hashprice levels.

Marathon and Bitdeer saw a decline in Bitcoin production but ramped up their energized proprietary hashrate, with Marathon reaching 30 EH/s. The unplugging of smaller operators’ machines is offsetting the overall network decline, leading to a hashrate consolidation where large-scale operators secure more mining rewards.

As a result of the overall hashrate decline, Bitcoin’s mining difficulty is expected to ease by about 5% on Friday. This shift benefits major mining companies as they continue to expand their fleets and infrastructure, financed by billions raised through stock offerings.