Miner stock returns topped Bitcoin price growth

    20 Sep 2021

    Holding North American Bitcoin miner equity is an opportunity for those looking for indirect Bitcoin exposure in the public markets, said the Deep Dive, Bitcoin Magazine’s premium markets newsletter. Because of average year-to-date returns for the top-four North American Bitcoin miners are up to 140% versus Bitcoin price returns of 49%.

    Of the top-four publicly traded North American miners – Marathon Digital Holdings, HUT 8 Mining, Riot Blockchain, Inc, and HIVE Blockchain Technologies – average year-to-date returns are up to 140%, versus Bitcoin returns of 49%. HODLing Bitcoin remains the best long-term option for most, but we’re seeing a trend of effective Bitcoin miners outperforming Bitcoin returns over the last two years. As the Bitcoin network bootstraps around the world, miner revenue continues to rise in USD terms.

    Including early 2020, average returns across these miners are 5.2 times above Bitcoin’s returns of 464%. Collectively they hold a $9.18 billion market cap.

    Looking at quarterly and monthly miner updates, we see a broader trend forming with the most successful miners trying to scale up production rapidly and increase their HODLing supply.

    Concerning Marathon, its monthly Bitcoin production increased 6% in August. Like many Bitcoin miners, Marathon continues to expand its Bitcoin treasury, keeping the business well-capitalized and ready to deploy the assets if ever needed.

    By Sept. 1, Riot held approximately 3,128 BTC, all of which were produced by its self-mining operations. Riot anticipates achieving a total hash rate capacity of 7.7 EH/s with a fully deployed mining fleet of 81,146 Antminers by Q4 2022. Marathon also expects to have a mining fleet of 133,000 machines deployed by the middle of 2022, including 21,584 miners secured at the moment.

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