1. Home
  2. Discover
  3. Crypto
  4. Marty Bent

Marty's Ƀent - January 14th, 2022 - Issue #1145

Thursday, January 13th 2022 - Issue #1145

2021 saw the highest miner revenues by a wide margin
Here's a pretty startling stat from the mining world highlighted by the Hashrate Index team; bitcoin miners produced more USD revenue in 2021 than they did in 2018, 2019, and 2020 combined. Obviously, the price of bitcoin reaching new all time highs and remaining at a historically elevated level helped drive revenues. But you should be reminded that the block subsidy in 2021 (and 7-monhts in 2020) was (and still remains today) 625M satoshis (sats) compared to 1.25B sats in 2018, 2019 and a solid portion of 2020. This is a great stat to see if the dwindling block subsidy getting cut in half every four years causes you worry.

Many think the subsidy dwindling toward zero sats per block puts the future security of the network at risk because miners would have little incentive to mine if they aren't appropriately compensated for their work. However, as we can see from the chart above, due to an increase in demand for sats driving up the price of sats as measured in dollars, the increased value of the sats in the block subsidy are more than compensating for reduction of overall sats in the subsidy. The purchasing power of sats has increased materially over the last two years, which is keeping miners incentivized to keep plugging in machines to continue appending the ledger. 2021 revenue as measured in dollars was more than 3x the revenue produced in 2018, which was the best year in mining pre-2021.

If the price of sats as measured in dollars continues to increase as well as outperform the real rate of inflation, humanity can rest easy knowing that miners should be sufficiently incentivized to provide their services for the foreseeable future. If operators keep working tirelessly to drive down their initial capital expenditure and ongoing operational expenses to mine as profitably as possible we should see very profitable businesses continue to emerge. On top of this, as bitcoin adoption continues to increase, the demand for blockspace should increase with it bringing a more robust fee market that should create an even better incentive for miners to continue their operations.

This is a very bullish and not-well-understood fundamental metric that many are overlooking at the moment in your Uncle Marty's humble opinion.

I highly recommend you freaks check out the rest of the Hashrate Index report. Colin Harper and Ethan Vera did an incredible job of laying out the developments in the mining industry throughout 2021.     
Final thought...

I need to be better at setting my alarm clock when I need it.

Enjoy your weekend, freaks.
Share
Tweet
Forward
Hope you enjoyed today's issue. If you have any friends that are looking to find out more about Bitcoin have them sign up for this newsletter here:
 
Get Ƀent

Ƀent noun 1. direction taken, as by one's interests; inclination.

Thanks for reading Marty's Ƀent, a daily newsletter containing all the information I found interesting in the Bitcoin world in the last 24 hours.
Copyright © 2022  TFTC.io, LLC  All rights reserved. 

Want to change how you receive these emails?
You can update your preferences or Ƀent Over!
 

Older messages

Marty's Ƀent - January 12th, 2022 - Issue #1144

Thursday, January 13, 2022

Wednesday, January 12th 2022 - Issue #1144 Gordian principles and software standards I had the pleasure of sitting down and interviewing Christopher Allen and Wolf McNally from the Blockchain Commons

Marty's Ƀent - January 11th, 2022 - Issue #1143

Tuesday, January 11, 2022

Tuesday, January 11th 2022 - Issue #1143 Lightning on the number one finance app in the app store Cash App (disclaimer: sponsor of the rag and the pod) has started rolling out the ability for users to

Marty's Ƀent - January 10th, 2022 - Issue #1142

Monday, January 10, 2022

Monday, January 10th 2022 - Issue #1142 This is what normalization looks like What a difference a year makes. At this point in 2021 the price of bitcoin had just breached a new all time high above

The Sat Standard - Bitcoin Weekly - Jan 1 2022

Saturday, January 8, 2022

This week in bitcoin. Straight to the point. No bullshit. Every Saturday. View this email in your browser The Sat Standard This week in bitcoin. Straight to the point. No bullshit. Every Saturday.

Marty's Ƀent - January 6th, 2022 - Issue #1141

Friday, January 7, 2022

Thursday, January 6th 2022 - Issue #1141 Bitcoin is going to win There comes a time when a new technology comes around that completely flips the table. At first, people laugh at it and make fun of

You Might Also Like

Bitcoin’s realized volatility surges in as traders face extreme price swings

Sunday, March 9, 2025

Volatility clustering in Bitcoin reveals the impact of turbulent rallies and sharp pullbacks. ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏

Asia's weekly TOP10 crypto news (Mar 3 to Mar 9)

Sunday, March 9, 2025

Ms. Sun Xueling, Minister of State, Ministry of Home Affairs of Singapore, said that cryptocurrency fraud cases accounted for a quarter of the total loss amount involved in fraud last year. ͏ ͏ ͏ ͏ ͏ ͏

Trump declares end to ‘war on crypto,’ vows to propel America to Bitcoin supremacy

Saturday, March 8, 2025

Trump brands the Biden era as a crypto setback, .President Trump vows to make America the Bitcoin leader, ending Operation Chokepoint 2.0 and bolstering crypto strategies. ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏

⚡ incentive → click → sale

Saturday, March 8, 2025

PLUS: the best links, events, and jokes of the week → ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏

Weekly Project Updates: World Network Launches Chat Feature, Zora Set to Introduce Its Native Token, and Trump Ann…

Saturday, March 8, 2025

Sam Altman's blockchain project, World Network, has launched World Chat, a “mini-app” integrated into the World App wallet. ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏

Treasury Secretary Scott Bessent hints at future US Bitcoin reserve acquisition plans

Friday, March 7, 2025

Federal government considers expanding Bitcoin holdings without taxpayer funds; official discussions underway in Washington. ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏

NFT & Gaming - 🦁 Loaded Lions’s LION went live and was the top gainer on CoinGecko; Trump-owned company DTTM Oper…

Friday, March 7, 2025

Loaded Lions's LION token went live on the Cronos and Solana. Trump-owned company filed a trademark for a metaverse and NFT marketplace. Hamster Kombat introduced a Layer-2 blockchain on TON ͏ ͏ ͏

WuBlockchain Weekly: Trump Officially Signs Executive Order for U.S. National Bitcoin Reserve, White House Hosts C…

Friday, March 7, 2025

David Sacks, the “Crypto Tsar” and the White House's AI and Crypto Affairs Chief in the United States, tweeted that Trump has signed an executive order to establish a strategic Bitcoin reserve. ͏ ͏

Cardano’s Charles Hoskinson reacts to White House crypto summit snub

Thursday, March 6, 2025

Hoskinson focuses on legislative progress, unfazed by his absence from Trump's crypto summit. ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏

Monthly Update on Blockchain Technology: Pectra testnet activation, zero-knowledge gossip, BNBChain roadmap

Thursday, March 6, 2025

Written by: GaryMa, WuBlockchain ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏