Bitcoin miner revenue down 37.5% in 2022 YoY

Bitcoin mining earnings was down to$

9.55 billion in 2022 from $15.3 billion in 2021– a 37.5 %decline.Since the peak of an enormous rally in 2021, cryptocurrencies have lost more than$ 2 trillion in market cap to reach below$ 900 billion. There has actually been more than a 70%drop in Bitcoin, the world’s biggest digital coin because it reached an all-time high of nearly $69,000 inNovember. In addition, several high-profile business and task failures have actually sent shock waves in the past year.This all started in May with the collapse of terraUSD, which reduced other firms like Three Arrows Capital, a crypto-orientedhedge fund. Then, in November, FTX , one of the world‘s largest cryptocurrency exchanges, collapsed, affecting the industry.Additionally, rising rates of interest have actually put pressure on danger properties, such as stocks and crypto, along with crypto-specific failures.As financiers ended up being cautious of volatile assets, degrading market conditions

also affected miners. Aside from market conditions, miners also dealt with high electricity expenses and record mining problem. In 2022, mining trouble reached a record high due to a boost in hash rate, which left some miners having a hard time for profitability.Due to this, the miner’s day-to-day profits has actually fallen greatly to$

16.173 million– below$63.548 million on Nov. 10, 2021. Change in daily miner’s earnings in 2022(Source: Blockchain.com)Top Mining companies suffered in 2022 According to Hashrate Index, the debt-to-equity ratio more than tripled for lots of mining firms, showing greater financial leverage. Debt to equity ratio Core Scientific has the highest debt-to-equity ratio at 26.7, followed by Greenidge and Stronghold at 18 and 11.1

in liabilities.