This is a transcribed excerpt of the “Bitcoin Magazine Podcast,” hosted by P and Q. In this episode, they are joined by Marathon Digital Holdings CEO Fred Thiel to discuss what it is like to be a publicly traded bitcoin miner throughout the bear market and what strikes bitcoin miners could make to higher safe their future whereas navigating bear markets.
Listen To The Episode Here:
P: It sounds such as you guys are centered on geographically distributing yourselves so that you simply are not as a lot in danger for these sorts of regulatory assaults. This completely is smart to me. I’m curious, how a lot of a tailwind did you guys expertise from the China mining ban, if in any respect?
There was such a robust narrative round all of those ASICs leaving China and flowing into different locations or coming into the market, I’m simply curious what your expertise of that was, given the place that you simply’re in.
Fred Thiel: Yeah, we had an important tailwind that was counterweighted, when you would, by the truth that our hardened facility had continuous operational points. I haven’t got to go into these as a result of we’re now totally transitioned out of that website, nevertheless it was a coal-fired energy plant that simply saved breaking. So we bought actually optimistic, “Great. All this hash rate is coming down, we’re gonna be able to mine a huge ton of bitcoin,” after which hastily, “Oh, the power plant is down again.”
For us personally, we skilled — when the plant was working — nice rewards. On some days, we had been mining 4 blocks with the small quantity of hash fee that we had, which was glorious.
But ultimately, the worldwide hash fee caught up and right here we are now, again on pattern the place we should always have been. We’re at about 240 exahashes globally right now and I believe we’re gonna proceed to see that hash fee develop as we proceed to deploy, as different massive miners proceed to deploy.
I believe we’ll ultimately get again to a spot the place — doubtlessly earlier than the following halvening — we’ll see world hash fee, north of mid-300s, one thing like that. That’s gonna be actually fascinating for this trade. I believe bitcoin value has to transfer an entire lot to compensate miners for the impression of the halving come early 2024.