The Bitcoin mining industry is shifting from debt to equity financing. The 2022 crypto winter caused major Bitcoin miners who were overexposed to debt financing to file for bankruptcy. Starting in Q4 2023, mining companies have increasingly started issuing equity to finance their operations, raising $4.9 billion during this period.

To maintain their profit margins, miners are turning to hardware upgrades and new sources of revenue, such as HPC and AI. This strategy has increased the valuations of companies, while traditional miners have seen a decline.

Do you think this strategy will be successful? Share your thoughts in the comments.