Public Bitcoin Miners Achieve Record Market Share Amid Increasing Challenges

By: Eva Baxter

Public Bitcoin Miners Achieve Record Market Share Amid Increasing Challenges

The latest data from The Miner Mag reveals that the market share of Bitcoin production by 16 public mining companies has surged to almost 23%. These companies produced 3,226 BTC in August, maintaining a steady output similar to May, June, and July. Despite this stable production, their market share has consistently risen, starting at 20% in May, 21% in June, 22.28% in July, and reaching 22.76% in August.

Since January 2023, The Miner Mag's data shows that the cumulative Bitcoin holdings of these public mining companies are nearing 60,000 BTC. However, the industry faces significant hurdles as the hashprice has plummeted below $40 per petahash per second (PH/s), marking one of the lowest levels recently observed. This drop in profitability is further compounded by an increasing hash rate, now approximately 700 exahashes per second (EH/s) on a 7-day moving average.

Adding to these challenges, a difficulty adjustment of over 4% took place on September 11. With Bitcoin's price hovering in the mid-$50,000s, miners are preparing for potentially tougher conditions that could drive the hashprice to a historic low. The juxtaposition of rising operational difficulty and stagnant Bitcoin prices is creating a pressurized environment for the mining sector.