This growth continues into Q1 2025, with estimates hovering around $3.6 billion, according to Coin Metrics data. The surge in earnings follows the Bitcoin network’s halving event in April 2024, which reduced mining rewards from 6.25 BTC to 3.125 BTC per block. These halvings, occurring every four years, decrease the supply of new BTC and often challenge miners’ profitability.
Coin Metrics highlighted that nearly a year after the halving, Bitcoin miners have had to adapt to tighter profit margins and lower block rewards. However, ongoing global trade tensions could undermine this recovery. Ben Yorke, VP of Ecosystem at WOO X, warned that the reintroduction of semiconductor tariffs could raise mining costs, pushing smaller operations out of the market and strengthening the position of larger miners.
Bitcoin miners have faced additional pressure in 2025 due to falling cryptocurrency prices, according to a JPMorgan report. Yet, those with substantial capital have managed to adjust. In January, Bitcoin’s hashrate hit a new record, showing that miners are finding ways to overcome operational hurdles. Key strategies include upgrading to more energy-efficient mining hardware (ASICs), relocating to regions with affordable renewable energy, and diversifying into AI data-center hosting. Notably, Core Scientific has committed to providing substantial infrastructure for AI computing.
To maintain miner incentives, Coin Metrics suggests that increased transaction activity on the Bitcoin network will be crucial. Currently, Bitcoin transactions under $100 make up around 60% of the total transaction count, suggesting that many holders are treating Bitcoin more as an investment than as a currency. This shift has slowed Bitcoin’s supply velocity, which in turn reduces the turnover rate and decreases the network’s economic activity. However, a rise in higher-value transactions could help stabilize miner earnings over the long term.
Editorial Team
Reporter at Coindoo
Source: https://coindoo.com/bitcoin-mining-revenues-surge-as-miners-adapt-to-halved-rewards-and-market-challenges/