Crypto Mining: What’s Most Profitable in 2024

Bitcoin Market Journal

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发布日期: 2023年11月17日

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Howdy, investors!

Is crypto mining still profitable? The answer is... it depends where you look. In our latest feature, Crypto Mining: What’s Most Profitable in 2024, you'll learn which altcoins you can still mine profitably.

As the crypto markets heat up, acquisitions in the space are also heating up, beginning with the $70 million buyout of crypto media firm The Block by a Singaporean crypto investment firm. It's a sign of investor confidence.

A year has passed since the implosion of FTX, and the distribution of assets to creditors remains exceptionally complex. Analysts at Decentralised.co took a look at the current balance sheet to try and determine how these assets might eventually be distributed, with some exciting findings.

This month's State of the Network from Coin Metrics highlights the ongoing rally in crypto, breaking down the catalysts and drivers and suggesting that a more mature crypto industry indicates continued growth.

Read on to explore more!

Crypto Mining: What’s Most Profitable in 2024

Bitcoin mining is a tough subject. In the early days of bitcoin, anyone with a powerful CPU and some technical know-how could contribute to the chain and earn a few tokens on the side.

However, mining is now a technological mountain where advanced rigs, powerful GPUs, and mining consortiums are at the top of the hill.?

That doesn’t mean mining isn’t possible or even profitable. While bitcoin mining may be beyond many of us, it is still possible to mine altcoins with a GPU (or even a CPU) these days.?

Regardless of your type of rig, we’re reviewing the best bets in crypto mining, and how you can make it profitable in 2024.

Don't waste your time with unprofitable mining, dig into profits here >>

Must Read

The Block Valued at $70M in Foresight Ventures Deal (Axios Pro)

Investor takeaway: Crypto media company The Block has sold a majority stake to Foresight Ventures for $70 million in a move to distance itself from the FTX scandal. This move ends former CEO Mike McCaffrey's involvement, who had used loans from FTX's founder for personal gains and a company buyout.

This signals some restructuring in this sector, specifically around investment diversification and positioning to leverage the growing Asia-Pacific crypto and fintech market. Investors should see this as a reflection of confidence in the market's long-term prospects despite the massive FTX scandal.

The Balance Sheet: What's Left of FTX (Decentralised.co)

Investor takeaway: About a year after FTX filed for bankruptcy, an analysis of the estate's financials reveals complexities in how assets can be distributed?to creditors.

FTX's bankruptcy involves 99 currently active debtors.
Claims filed total $81 billion, with $65 billion from non-customers across 2300+ filings.
These entities include Genesis, Celsius, Voyager, and the Internal Revenue Service.
6,075 customers filed for claims worth $16 billion. Since the creditors extend beyond customers, it isn’t easy to distribute assets as they are. The situation necessitates liquidating assets, which will then be distributed pro rata.
The assets of FTX include liquid digital assets like BTC and ETH, along with some less liquid assets such as properties and investments in other businesses.

While this analysis gets deep into the "crunch" of the bankruptcy, the more significant takeaways are straightforward: the need to focus for crypto companies to focus on transparency and regulations, the demand for robust risk management models, and the value of investors diversifying their holdings.

November Rally Reaches New Corners of the Digital Asset Market (Coin Metrics)

Investor takeaway: Crypto markets have extended their gains into November, with the total market capitalization exceeding $1.4 trillion. This growth was largely fueled by optimism around potential spot bitcoin and Ethereum ETFs. Institutional interest grew, evident in the rising open interest in bitcoin futures and narrowing discounts in Grayscale’s Trust products. Network activities for bitcoin and Ethereum also surged.

The ongoing rally in crypto suggests this may be an opportune moment for investors to consider diversifying their portfolios with major cryptocurrencies like BTC and ETH, and selected altcoins (see our Future Winners Portfolio). Growing institutional interest and positive market indicators, such as the surge in open interest in futures and the performance of Grayscale’s Trust products, indicate that crypto is becoming an increasingly mature market with the potential for further growth.