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Bitcoin Miner Revenue Hits Record Lows as BTC Hashrate Soars to All-Time Highs

2 mins
Updated by Geraint Price
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In Brief

  • The soaring Bitcoin (BTC) hashrate and mining difficulty may impact miners' profitability, with revenue per terahash at record lows.
  • Some argue network terahash increases are due to hardware efficiency, and it is not impacting the profitability of the Bitcoin miners.
  • Miner revenue from fees has nearly doubled since November 2022 and Bitcoin Ordinals has been a primary contributor.
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As Bitcoin’s hashrate and mining difficulty near all-time highs, analysts claim miners will struggle to maintain profitability.

When the Bitcoin (BTC) hashrate increases, the network becomes more secure. But on the flip side, mining the blocks requires more power, impacting miners’ profitability.

Declining Profitability: Bitcoin Miner Revenue Per Terahash Nears All-Time Lows

Bitcoin (BTC) analyst Dylan LeClair shared on X (Twitter) that the miner revenue per terahash is near its fresh lows. The screenshot below shows that the metric is nearing the lows of November 2022.

Declining Miner revenue per Terahash. Source: X (Twitter)
Declining Miner revenue per Terahash. Source: X (Twitter)

On Aug. 23, BeInCrypto reported that both Bitcoin hashrate and mining difficulty are at all-time highs. Other analysts also raised concerns that the soaring hashrate will impact the Bitcoin miners’ profitability.

Click here to read an in-depth article on cloud mining.

Meanwhile, the Bitcoin halving event is less than a year away. The block rewards will be halved with the halving, potentially decreasing the miners’ profitability if the Bitcoin price remains in the current range.

However, some community members have countered LeClair’s argument, stating that network terahash increases due to hardware efficiency. An X (Twitter) user, Udi Wertheimer, has argued that while miner revenue per terahash is down, mining fees have increased since Bitcoin Ordinals. He wrote:

“Counting terahashes is meaningless, as I would’ve expected you to know by now, because total network hashrate always go up, due to increase in hardware efficiency.

That does NOT imply an increase in miner operating costs (aka security budget), and therefore tracking fees per terahash is meaningless

Instead, you should be tracking fees vs block reward. that figure, today, is 10x higher than it was before ordinals.”

The screenshot below shows that miner revenue from fees is nearly two times higher compared to November 2022. In May 2023, the fees spiked due to the Bitcoin Ordinals craze.

Bitcoin miner revenue from fees.
Bitcoin miner revenue from fees. Source: Glassnode

Got something to say about miner profitability or anything else? Write to us or join the discussion on our Telegram channel. You can also catch us on TikTok, Facebook, or X (Twitter).

For BeInCrypto’s latest Bitcoin (BTC) analysis, click here.


In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content.

Harsh Notariya
Harsh started investing in crypto during the 2021 bull market. He took the opportunity of the market crash in May to learn more about Bitcoin and blockchain technology. Since...