You don't lose money because the model was wrong.
You lose money because reality doesn't follow the model.
Execution risk is the variable most investors underestimate and the one we specialise in.
Reach out today & let's pressure-test the plan.
Power is the next big bottleneck for AI and HPC. As demand soars, expect a shift towards smaller, more decentralized mining sites, potentially in regions like South America or Africa where AI data centers might find it too risky.
Considering an AI pivot? If you're a smaller operator (10-20 MW), it might be wise to wait. Let the big players navigate the early challenges. Modular solutions will emerge for smaller businesses. Patience in this rapidly evolving sector will likely pay off.
The mining industry has a knowledge gap for traditional investors. To bridge this, a newsletter was launched, now with over 18,000 subscribers, translating complex mining economics like hash price and block rewards into understandable terms.
The AI boom is driving massive demand for power, even outbidding Bitcoin miners for data center sites. But it's not an either/or. Bitcoin mining can complement AI/HPC data centers, providing a flexible layer to benefit from available power and energy markets.
Compute is no longer constrained by chips alone. Access to power is dominating the conversation but securing megawatts is not the finish line. The industry has moved from asking who controls the power to asking who can convert it into operational compute capacity
@fboxdata
The AI infrastructure boom looked like bad news for Bitcoin miners, a better-capitalised competitor absorbing every available megawatt. The inference era changes that.
Bitcoin mining could be the solution to flaring stranded gas, turning a global emissions problem into a valuable resource. This could significantly reduce greenhouse gases worldwide.
Very honored to be interviewed today on @BNR
Thank you for the invitation and for such a great conversation โ really enjoyed the discussion and the opportunity to share insights. ๐๏ธ
Excited to share that @fboxdata has decided to extend their sponsorship of our newsletter, The Bitcoin Mining Block Post.
Weโre grateful for the continued trust and support, and even more excited to keep building valuable content for our growing community together.
The -4% year-on-year decline understates the speed of the contraction. On a year-to-date basis, the network has already lost nearly as much hashrate in four months as it added during 2021 and 2022 combined.
The decline has been persistent rather than episodic. Since early January
Bitcoin is still trading roughly $20,000 above this cycleโs low, and because this downturn has been shallow compared to previous bear markets, the industry has largely avoided the wave of bankruptcies, forced liquidations, and distressed M&A activity that defined earlier cycles.