• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Electricity Cost for Bitcoin Mining Rises for IREN in FY24

user avatar

by Giorgi Kostiuk

10 months ago


  1. Increase in Electricity Cost
  2. Impact of Bitcoin Halving
  3. Cost Reduction Measures

  4. In FY24, IREN experienced a significant increase in its average net electricity cost per Bitcoin mined, rising from $11k to $18.1k. This trend reflects the growing challenges faced by Bitcoin miners in a highly competitive market.

    Increase in Electricity Cost

    The increase in electricity costs is a direct consequence of heightened competition within the Bitcoin mining industry. As more miners enter the market and global hashrate continues to climb, the difficulty of mining new Bitcoins increases, requiring more energy to achieve the same level of output. This has led to higher electricity consumption and, consequently, higher costs per Bitcoin mined.

    Impact of Bitcoin Halving

    Additionally, the Bitcoin halving event in April 2024, which reduced the block reward from 6.25 BTC to 3.125 BTC, has further intensified the competition. With fewer Bitcoins available for mining, miners must operate at peak efficiency to remain profitable. For IREN, this has meant a greater focus on optimizing energy usage and securing cost-effective power sources.

    Cost Reduction Measures

    Despite the increase in electricity costs, IREN has managed to maintain a strong financial performance, thanks in part to its strategic transition to spot power pricing. This move has allowed the company to better manage its energy expenses in real-time, mitigating some of the impacts of rising costs. However, the higher electricity costs still represent a significant challenge for the company, as it continues to navigate the complexities of the global Bitcoin mining market. To address these challenges, IREN is investing in new technologies and infrastructure designed to improve energy efficiency and reduce overall consumption. The company’s focus on sustainability and the use of renewable energy sources is also a key part of its strategy to manage rising costs while maintaining its competitive edge.

    Thus, despite the increased electricity costs, IREN continues to actively implement measures to reduce expenses and maintain competitiveness in the Bitcoin mining market.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

Other news

Bithumb Introduces RESOLV Token in KRW Trading

chest

Bithumb begins trading of RESOLV token on the KRW market, with the launch set for July 11, 2025, at 6 PM.

user avatarGiorgi Kostiuk

BlackRock Shifts Focus: Ether Investments Exceed Bitcoin Holdings

chest

BlackRock's investments in ether have reached $158 million, surpassing $125 million in bitcoin. This indicates a strategic shift in the firm's focus.

user avatarGiorgi Kostiuk

USDT Interest Rate on OKX Jumps to 53% in Response to Market Turbulence

chest

The interest rate for OKX's 'Simple Earn' product rose from 5% to 53%, indicating a surge in market activity.

user avatarGiorgi Kostiuk

GMX Hacker Returns 5.49 Million FRAX After Major Exploit

chest

Hacker returned 5.49 million FRAX after GMX breach, causing a 28% drop in token value. GMX has acted to protect users.

user avatarGiorgi Kostiuk

Florida Attorney General Launches Investigation into Robinhood Crypto

chest

Florida's Attorney General investigates Robinhood Crypto for potential deceptive practices related to cryptocurrency services and fee structures.

user avatarGiorgi Kostiuk

Large Whale Purchases 227.8 Billion PEPE Tokens, Leading to Price Increase

chest

A large purchase of PEPE worth $2.68 million triggers optimism among traders and boosts token prices.

user avatarGiorgi Kostiuk
dapp expert logo
© 2020-2025. DappExpert. All rights reserved.
© 2020-2025. DappExpert. All rights reserved.

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.