What’s happening in the Bitcoin mining market? Did the halving bring us into a new landscape? And how are miners surviving in such hostile revenue territory?
We sit down with Shanon Squires, a long time Bitcoin miner and current Chief Mining Officer at Compass Mining. Shannon has been with the company for almost two years and has spent several years in the industry in various capacities. His journey began in Colorado in 2017 when he first ventured into Bitcoin mining, initially experimenting with Ethereum mining on GPUs. This led to a progression into Bitcoin mining and eventually co-founding a mining operation in Denver. Shanon has faced almost any and every challenge a miner will find: from sourcing energy to procuring parts and capital.
Shannon highlighted how Compass Mining focuses on reducing reliance on third parties and consolidating operations to improve efficiency and control. This involves everything from site procurement to energy agreements and operations management. Compass has been making strides in owning infrastructure and power agreements, ensuring better service and fewer delays.
The conversation moved into the challenges of setting up and operating mining sites. Shannon emphasized the complexity of building a Bitcoin mining farm, which involves aspects like land acquisition, power procurement, IT networking, and metal fabrication. Compass offers an accelerator program to assist clients in navigating these complexities, from site acquisition to operational management.
Shannon shared his insights on the post-halving market outlook, expecting some level of consolidation and a focus on upgrading mining hardware. The demand for hosting remains robust, driven by the need for cost-effective power solutions and operational expertise. Despite predictions of hosting becoming obsolete, it continues to thrive due to economies of scale and the expertise required to manage mining operations effectively.
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Thank you to our sponsor, CleanSpark, America’s Bitcoin miner! And thank you to Foreman Mining, Master Your Mining!
“The Mining Pod” is produced by Sunnyside Honey LLC and distributed by CoinDesk. Senior Producer is Damien Somerset.
