The increasing number of transactions on the network explain part of the increase in their income. And the rising price of the cryptocurrency makes up for the lower amount of mining arranged after the halving of 2020.
Bitcoin miners made more than $ 4 million this Friday in just under an hour, a figure that represents the highest hourly income in the history of the cryptocurrency.
This, despite mining half the BTC they used to mine compared to last year, as as Bitcoin approaches its fixed supply of 21 million the rate at which it is mined slows.
When there is a “halving” like the one in 2020, the price of Bitcoin is expected to increase due to the lower supply of new coins entering the market. Therefore, a higher BTC price can compensate for the fewer number of BTC miners who are rewarded for mining a block.
This incentivizes miners to increase their mining rate and to invest in network security.
Another reason behind the increased revenue is the increasing number of transactions on the network and the corresponding fees charged by miners . Its revenue is made up of transaction fees plus block rewards collected, and the first item is roughly 13.5% of total revenue, the Cointelegraph site reported.
In May 2020, Bitcoin experienced the third halving in its history, halving the number of new units of the cryptocurrency mined.