Skip to content
Subscribe
  • Home
  • Services
  • Video
  • Events
Subscribe

Reading

JPMorgan Shares Best Bitcoin Miners’ List at a “Crucible Moment”
News Mining

JPMorgan Shares Best Bitcoin Miners’ List at a “Crucible Moment”

The Executive Chairman and co-founder of CleanSpark Inc., S. Matthew Schultz, recently shared JPMorgan's latest research on the stocks of Bitcoin mining companies.
Anisha Pandey
By: Anisha Pandey
Oct 13, 2023
3 min read
JPMorgan Shares Best Bitcoin Miners’ List at a “Crucible Moment”

The Executive Chairman and co-founder of CleanSpark Inc., S. Matthew Schultz, recently shared JPMorgan’s latest research on the stocks of Bitcoin mining companies. This report, titled “Bitcoin Mining: Expanding Coverage,” delves into the fundamental analysis of CLSK, CIFR, RIOT, and MARA.

JPMorgan’s Report

On October 11, JPMorgan’s North America equity research team published a report that addressed the challenges being faced in the Bitcoin mining industry. They discussed the increasing hashrate and the potential risks posed by the upcoming block subsidy halving for Bitcoin, emphasizing the pivotal moment for the industry:

“The bitcoin mining industry is at a crucible moment as management teams (and investors) weigh the prospects of a Bitcoin ETF, which may catalyze a rally, against record hashrate increases and the looming block reward halving that threaten industry revenues and profitability.”

The report highlights that the combined market capitalization of the 14 largest U.S.-listed Bitcoin mining companies exceeds JPMorgan’s revenue projections for the entire industry’s next four-year cycle, which is $20 billion.

Interestingly, the report also underscores the hashrate centralization in the Bitcoin industry. JPMorgan explains that the concentration of hashrate among these 14 major Bitcoin mining companies contributes to 25% of the total global hashrate. These findings align with JPMorgan’s previous reports on increasing centralization in the Bitcoin network.

Moreover, the banking giant notes that 20% of the current hashrate would be at risk after the upcoming halving, underscoring the importance of selecting the right companies for investment.

JPMorgan’s top picks among Bitcoin mining companies are CleanSpark Inc., Riot Platforms Inc., Cipher Mining Inc., and Marathon Digital Holdings Inc.

The bank has started its coverage of the listed miners, with CleanSpark (CLSK) at the top due to its balance of scale, growth potential, power costs, and relative value. It reads:

“​​Not all miners are created equal. […] We believe CLSK, our top pick, offers the best balance of scale, growth potential, power costs, and relative value. MARA is the largest operator but has the highest energy costs and lowest margins. RIOT has relatively low power costs and liquidity and is nearing completion of a large facility, but is by far the most expensive name in our coverage universe. CIFR has the lowest power costs but is growth constrained.”

Why is Decentralized Bitcoin Distribution Crucial?

A more decentralized Bitcoin distribution offers several advantages. Fewer entities holding a larger share of the supply or traded volume can manipulate prices more easily. It reduces the risk of market price manipulation and disperses ownership, mitigating vulnerability to sell-offs.

Decentralization enhances security by making it challenging for a malicious entity to take over the network’s consensus. In a decentralized network, it’s more difficult to achieve a 51% attack, where an attacker spends the same coin twice, compromising the integrity of the network.

Related reading:

https://bitcoinnews.com/decentralization-is-the-innovation

Stay on top of Bitcoin
news, get weekly updates
in your inbox.

Recommended News

Mining
Mining
Sangha Renewables to Launch 20MW Solar Mining Farm in Texas
May 23, 2025
3 min read
By: Alex Lari
Mining
Mining
Bitcoin Mining Now Uses Over 50% Green Energy: Cambridge Study
Apr 30, 2025
3 min read
By: Alex Lari
Mining
Mining
Tether to Assign Its Bitcoin Mining Hash Power to OCEAN Pool
Apr 16, 2025
3 min read
By: Alex Lari
All News
Accelerating Adoption
News
  • Adoption
  • Legal
  • Markets
  • Mining
  • Opinion
  • Press Release
  • Learn
  • Sponsored
Company
  • About Us
  • Brand Assets
  • Newsletter
  • Services
  • Site Map
  • Terms & Privacy
Connect
  • Contact Us
  • Contribute
  • Services
  • Media Partner
  • RSS
  • Videos
Social Media
  • Twitter
  • YouTube
  • Telegram
  • LinkedIn
  • Instagram
  • Nostr
  • TikTok
  • Flipboard

© A Bitcoin-Focused Company | 256 Media, 2024

Language Switcher
Search
  • News
    • Adoption
    • Legal
    • Markets
    • Mining
    • Opinion
    • Press Release
    • Learn
    • Interviews
  • Services
  • Video
  • Events
  • News
    • Adoption
    • Interviews
    • Learn
    • Legal
    • Markets
    • Mining
    • Opinion
    • Press Release
  • About Us
  • Contact
  • Newsletter
Search

Popular Articles

Dirty Coin Shines at FreedomFest’s Anthem Film Festival
June 22, 2025 · 3 min
Semler Scientific Raises Bitcoin Treasury Target to 105,000 BTC by 2027
June 22, 2025 · 2 min
Relai Partners With Casa to Offer Multisig: A New Way to Stack and Save
June 18, 2025 · 2 min
Fold CEO Will Reeves on Making Bitcoin Part of Everyday Life
June 18, 2025 · 8 min
Vinanz Raises £3.58 Million as Retail Investors Back Bitcoin Strategy
June 18, 2025 · 3 min
Metaplanet’s BTC Reserve Flips Coinbase, Reaching its 2025 Goal
June 17, 2025 · 3 min

Bitcoin Only
Newsletter

Get weekly news roundups direct to your inbox!