There has been a sizeable shift in the pecking order of the world’s leading bitcoin miners. Marathon Digital Holdings (MARA) has toppled Core Scientific from the top spot by cementing itself as the largest powerhouse when it comes to self-mining hashrate. If we unravel the term, self-mining hashrate refers to the computational prowess that is leveraged to mine bitcoin for the owning entity rather than for client portfolios.
In headier days, Core Scientific sported an impressive 15 exahash/second (EH/s) of installed mining machines only to face a slow decline, culminating in bottleneck bankruptcy proceedings ongoing since late 2022. Throughout these proceedings, their self-mining hashrate has been stagnant, which in the fast-paced world of cryptocurrency, can often equate to moving backward.
In contrast, Marathon reported a robust 17.7 EH/s operational hashrate – a measure of computational power on the bitcoin network – in June, a feat that has been followed by an increase to 18.8 EH/s in July. This consistent growth and rapid adaptability make it undeniably apparent why Marathon is emerging as the titan in the world of mining.
2023 has been a record-setting year for Marathon. After shaking off the operational setbacks and adverse weather conditions of the previous year, it has not just doubled but nearly tripled its operational hashrate, hitting 15 EH/s in May. This robust performance is closely mirrored in their stock price, which observed a 360% surge, thereby significantly surpassing the 76% rise of Bitcoin in 2023.
Another crucial aspect to keep an eye on is the race against time among Bitcoin miners as they strategize to connect the most advanced machines. This is in anticipation of the forthcoming Bitcoin halving – an event deeply ingrained into Bitcoin’s principles, cutting the miners’ rewards upon successful mining of a Bitcoin block by half. The time clock is ticking away towards this event, projected to take place in April 2024.
While the rapid expansion of Marathon and its fortified first-place position is commendable, one cannot help but wonder what the future holds for entities such as Core Scientific. Though currently enveloped in bankruptcy proceedings, can it rise again, or is it doomed to be out-paced by its more adaptive competitors such as Marathon? Only time will tell.
Source: Coindesk
