As a seasoned researcher with over two decades of experience in the financial industry, I find these Bitcoin mining statistics absolutely mind-boggling. It’s fascinating to observe how this decentralized digital currency has revolutionized the financial landscape and yet managed to maintain such a minuscule portion of its market cap as miner revenue.
Bitcoin (BTC) miners have earned over $70 billion since the Bitcoin network was created.
According to the analysis from Glassnode, a trusted on-chain data resource, a total of approximately $71.49 billion has been sent to Bitcoin miners as of December 11.
Miner revenue reflects “tremendous” security value
At a price of $100,000, Bitcoin presents a profitable prospect for miners, yet upon examining the industry’s past, some unexpected numbers catch the eye.
Although miners generate vast amounts of money, approximately tens of billions, from transaction processing, this income represents only a minute percentage of Bitcoin’s total market value.
As a crypto investor, I’ve learned that miners have accrued an impressive total of $71.49 Billion up until December 5th, thanks to their computational efforts. This revenue breakdown is significant: around $67.31 billion was derived from block subsidies, which essentially means the creation of new coins, and approximately $4.18 billion came from transaction fees paid by users. These insights were shared in the latest edition of Glassnode’s weekly newsletter, “The Week Onchain.
“This represents just 3.57% of Bitcoin’s $2 Trillion market cap peak, arguably reflecting a tremendous return on the input security budget.”
A separate diagram also shows that transaction fees contribute a relatively tiny percentage to the overall mineral revenue. In fact, out of the $71.49 billion total, only $4.18 billion came from transaction fees.
Approximately 840 million Bitcoin transactions have taken place between individuals, not including transfers made internally by crypto exchanges or institutional investment products.
According to Glassnode’s data, the total worth of all transactions confirmed on the Bitcoin network so far amounts to approximately 131.25 trillion dollars when calculated at the time of confirmation.
“After applying entity adjustment, the filtered transfer volume stands at $11.63 trillion, just 8.86% of the total.”
Bitcoin mining firms soldier on
According to CryptoMoon’s report, the performance of public Bitcoin miners has been consistently strong over the past year, as the value of Bitcoin repeatedly set new record highs.
Hut 8 experienced an 8% increase in its stock price upon revealing a share buyback plan aimed at establishing a Bitcoin strategic reserve. Meanwhile, over the course of two months, MARA Holdings accumulated Bitcoin worth approximately $600 million.
In summary, as per Glassnode’s observation, the hash rate of the Bitcoin network stays close to record levels.
As its hashrate approaches record levels and boasting a wide range of owners, Bitcoin is poised for an even greater influence in global affairs,” they stated.
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2024-12-13 19:09