Bitcoin Mining News: Only the Leanest Bitcoin Miners Will Survive, MARA CEO Warns

Fred Thiel, CEO of MARA Holdings, warns that the bitcoin mining industry is facing significant challenges due to rising competition and energy costs, leading to shrinking profits. Thiel emphasized that miners who control their energy costs or adapt their business models, such as pivoting to artificial intelligence or high-performance computing, are more likely to survive. The next halving in 2028, which will reduce block rewards, could exacerbate these issues, making many current mining models unsustainable without a substantial rise in bitcoin’s price or transaction fees. Thiel notes that many smaller miners will be pushed out as operational costs increase. Larger companies are developing strategies to become power generators or partner closely with them to remain viable. By 2028, Thiel predicts only miners with strategic energy partnerships will thrive, signaling a shift in the industry.

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