Reportedly the Bitcoin mining companies are under huge hurdles ahead of the upcoming Bitcoin halving event.
Bitcoin halving is a process which reduces the per block mining reward by half. The next Bitcoin halving is coming around 19 April, as per the current Bitcoin hash-rate.
#Bitcoin halving, 9 days + 12 hours remaining. pic.twitter.com/RzEMFJlieV
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Following this Bitcoin halving event, the reward per block will be reduced to 3.125 BTC from 6.25 BTC.
In simple words, all the Bitcoin mining companies saw a sudden downfall in their revenue and in that situation, there will be some companies which will not be able to run their mining equipment, as cost operations will be high over revenue.
Here everything will depend upon the trade price of Bitcoin, if it does not show a sudden increment then surely it will be a very big issue for the small Bitcoin mining companies.
To maintain the same revenue for these Bitcoin miners, the trade price should be increased by at least 100%. According to experts, it will take nearly 12 months to see a 100% increment in the Bitcoin price from now.
Kristian Csepcsar, chief of propaganda at the Bitcoin mining infrastructure firm Braiins, said that Bitcoin miners embrace halvings & enjoy the process but here they are also in some fear.
Furthermore, Kristian appreciated the role of Bitcoin miners and said that miners are actual Bitcoiners and also said that halving is going to put extreme pressure on the miners but still miners understand very well that halving is an integral part of Bitcoin & it makes Bitcoin unique.
Bitcoin mining firm Hut8 CEO Asher Genoot said that he is highly optimistic about halving and also said that it is a type of opportunity for those mining companies which are cost-effective.
According to Asher, Bitcoin halving will put direct pressure on the Bitcoin mining companies to restructure the business and focus on being a low-cost operator.
Hashlabs Mining co-founder Jaran Mellerud said that there is a possibility that Bitcoin miners propose the idea of scrapping the Bitcoin halving concept, which is almost not possible because everything depends upon Bitcoin community demands & also change in Bitcoin code will lead to deflecting the vision of Bitcoin from its fundamentals.
Jaran knows very well that Bitcoin miners don’t control the Bitcoin network and he added that “Bitcoin was not made for the miners, but for the holders.”
Read also: Senator Accuses Biden Administration of Blaming Crypto to Hide Failures in Stopping Illegal Finance
Bitcoin halving causes huge tension among the Bitcoin miners, some optimistic & some tensioned
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