Bitcoin mining profitability experienced a dip of 5% during the past month, August, according to a recent analysis released by the financial firm Jefferies. The primary driver for this decline was an observed surge in the overall network hashrate.
Analysts, led by Jonathan Petersen at Jefferies, calculated that a mining operation hypothetically contributing 1 Exahash per second (EH/s) would have yielded approximately $55,000 daily in revenue throughout August. This figure represents a decrease from the $58,000 per day recorded in July, although it remains higher than the $44,000 earned a year prior.
The term “hashrate” signifies the total computational power collectively dedicated to mining and validating transactions on a proof-of-work blockchain. This metric provides insights into the competitive landscape and the inherent difficulty associated with mining activities. Hashrate is commonly measured in exahashes per second (EH/s).
The report also highlighted that publicly traded mining companies based in the United States collectively mined 3,573 Bitcoin tokens in August, slightly less than the 3,598 mined in July. These miners accounted for 26% of the total Bitcoin network activity last month, a consistent percentage compared to the previous month.
Among these firms, MARA Holdings (MARA) emerged as the top producer, having successfully mined 705,703 Bitcoin, according to Jefferies’ data. IREN (IREN) followed as the second-largest producer.
Furthermore, MARA maintains the highest energized hashrate within the group, registering at 59.4 EH/s. CleanSpark (CLSK) occupies the second position, with an energized hashrate of 50 EH/s, according to the report.
Read more: Bitcoin Network Hashrate Returned to All-Time Highs in August: JPMorgan