16 listed crypto mining companies have spent $3.6 billion on plant, property and equipment upgrades so far this year

16 listed crypto mining companies have spent a total of $3.6 billion on plant, property and equipment (PP&E) upgrades, including new mining hardware. So far in 2024, 16 mining companies have raised more than $5 billion in funding, with the third quarter being the highest period of PP&E spending since the first quarter of 2022. Mining hardware spending accounts for the majority of PP&E spending. Since 2023, listed mining companies have spent a total of $2 billion on hardware upgrades. The report explained that the lifespan of crypto mining hardware usually averages 3-5 years and must be upgraded regularly to maintain profitability. In addition, crypto companies are shifting from equity financing to debt financing. Regarding the mining company's PP&E spending in November 2024, Bitfarms signed a miner hosting agreement with Stronghold on November 1, which includes terms for hosting an additional 10,000 Bitcoin mining equipment at its facility in Pennsylvania. Around the same time, CleanSpark, a company focused on renewable Bitcoin mining, announced plans to build a 400-megawatt mining infrastructure after acquiring mining company GRIID in October 2024. On Nov. 11, Hive Digital purchased 6,500 application-specific integrated circuits (ASICs) for the company’s upcoming facility in Paraguay.