ASIC Bitcoin Mining Hardware Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Component (ETH Type, BTC Type, Others), By Type (Enterprise, Personal), By Bus Type (Transit Bus, Coach Bus, School Bus, Transfer Bus, Others), And By Geography - Forecasts From 2023 To 2028

Description

Bitcoin Mining is a process through which new bitcoins are placed into circulation. It is also the way the network confirms new transactions. The process of "mining" involves employing advanced hardware to tackle a very complicated computational arithmetic problem. An application-specific integrated circuit (ASIC) miner is a computerized device that uses ASICs for the sole purpose of "mining" digital currency. ASICs are orders of magnitude more powerful than CPUs or GPUs, and they continuously improve in terms of hashing power and energy efficiency as new chips are created and used. ASIC bitcoin mining hardware also has several advantages, including greater mining efficiency, profitability, and environmental friendliness.

The rising popularity and demand of Bitcoins are one of the key factors driving the market growth during the forecast period. The expansion of the ASIC bitcoin mining hardware market can be attributed to increasing investments in R&D activities, the emergence of new players, product innovation, technological advancements, efficient resource allocation, and growing competition among competitors to increase their regional and customer bases. The development of the ASIC bitcoin mining hardware market is also anticipated to be influenced by favourable regulations, supportive government policies, and incentives.

However, developing and manufacturing ASICs as mining devices is costly and complex. Lack of knowledge regarding bitcoin especially in emerging economies will likely impede market growth during the forecast period.

The high demand and popularity of Bitcoins will spur growth

One of the prime factors boosting the growth of ASIC bitcoin mining hardware is the growing surge in popularity and demand for bitcoin and cryptocurrency. Bitcoin has been a buzzword for many years, but its popularity has recently been rising. What was formerly an alternative investment has now become an important part of investors’ portfolios. Investing in Bitcoin has become extremely popular due to companies like Coinbase becoming public leading to widespread access to cryptocurrency. According to Coinbase, the most popular cryptocurrency remains Bitcoin. Bitcoin dominance is currently 39.6%. Various merchants like Google Pay and Apple Pay have started accepting bitcoin as a method of payment. Governments around the world are opening up to the idea of cryptocurrency.  For instance,  vice chairwoman of the Federal Reserve Board, Lael Brainard, has said that the U.S. could someday have a central bank for digital currency.

Since bitcoins have become so popular, bitcoin mining has also risen in popularity.  According to Buy Bitcoin Worldwide data, the bitcoin market grows by one bitcoin every ten minutes. Blocks are continually being uncovered by miners. There are 144 on average per day, and each one produces 6.25 coins for circulation. That amounts to 900 cryptocurrencies every day.

Bitcoin miners presently produce about 20 million dollars worth of bitcoin each day, or about 600 million dollars per month, according to data from Buy Bitcoin Worldwide. Bitcoin mining is also becoming popular among retailers.

Vendors are increasing their R&D expenditure to create cutting-edge technology and contemporary items as they introduce an increasing number of products. Additionally, they are integrating numerous technologies to raise the hash rate and lower power usage to increase mining profitability. These factors are supposed to fuel market expansion during the forecast period.

However, according to recent research in 2021 by the National Bureau of Economic Research, bitcoin mining is a highly concentrated business. 10% of bitcoin miners control 90% of the mining capacity on bitcoin's network, with 0.1% of all miners owning 50% of the network's mining capacity, affecting market profitability.

North America is anticipated to hold a significant amount of the market share during the forecast period

North American region is anticipated to hold a significant amount of market share in ASIC Bitcoin mining hardware. This region will witness high growth during the forecast period owing to the rapid adoption of mining hardware for digital currencies. The presence of several ASIC bitcoin hardware companies in countries such as the U.S. and Canada further bolstered the market's growth. According to new data from Cambridge University, the U.S. is now the number one destination for bitcoin miners, eclipsing China for the first time. According to the Cambridge Centre for Alternative Finance, 35.4% of bitcoin's hash rate—a word used in the industry to refer to the total computer power of miners—was located in the United States as of July 2021. This is an increase of 428% from September 2020. For migrant bitcoin miners looking for a new home, the United States checks a lot of the right boxes. For instance, places like Texas have among the lowest energy costs in the world, which is a big draw for miners who operate in a low-margin market where energy is generally their sole variable expense. Various companies in the region are investing in bitcoin mining infrastructure which is boosting the market growth. For instance, Throughout the crypto winter, businesses like North American cryptocurrency miner Core Scientific continued to expand their hosting facilities to safeguard their ability to plug in new equipment.

Market Key Developments

• In March 2021,  SFARDS announced that its 28nm ASIC, which will enable miners to mine both Scrypt coins like Litecoin and SHA-256/Bitcoin, has been taped off
• In September 2022, Bitmain Technologies, the largest manufacturer of application-specific integrated circuit (ASIC) bitcoin miners in the world, announced that it is providing a discount on Antminer S19 Pro mining rigs.
• In February 2022, Bitfury Group, the industry leader in Bitcoin and cryptocurrency technology, announced the opening of a new 28MW digital asset mining data centre in Sarnia, Ontario. The facility will initially have a 16MW capacity and will add 12MW in May 2022.

Segmentation:

• By Component
  • ETH Type
  • BTC Type
  • Others
• By Type
  • Enterprise
  • Personal
• By Bus Type
  • Transit Bus
  • Coach Bus
  • School Bus
  • Transfer Bus
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Others
  • South America
    • Brazil
    • Others
  • Europe
    • Germany
    • UK
    • France
    • Others
  • Middle East and Africa
    • Israel
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • India
    • Taiwan
    • Thailand
    • Indonesia
    • Others

Table Of Contents

1. INTRODUCTION

1.1. Market Overview

1.2. COVID-19 Scenario

1.3. Market Definition

1.4. Market Segmentation

2. RESEARCH METHODOLOGY  

2.1. Research Data

2.2. Assumptions

3. EXECUTIVE SUMMARY

3.1. Research Highlights

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Force Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. ASIC BITCOIN MINING HARDWARE MARKET ANALYSIS, BY COMPONENT

5.1. Introduction

5.2. ETH Type

5.3. BTC Type

5.4. Others

6. ASIC BITCOIN MINING HARDWARE MARKET ANALYSIS, BY TYPE

6.1. Introduction

6.2. Enterprise

6.3. Personal

7. ASIC BITCOIN MINING HARDWARE MARKET ANALYSIS, BY BUS TYPES

7.1. Introduction

7.2. Transit Bus

7.3. Coach Bus

7.4. School Bus

7.5. Transfer Bus

7.6. Others

8. ASIC BITCOIN MINING HARDWARE MARKET, BY GEOGRAPHY

8.1. Introduction

8.2. North America

8.2.1. USA

8.2.2. Canada

8.2.3. Mexico

8.3. South America

8.3.1. Brazil

8.3.2. Argentina

8.3.3. Others

8.4. Europe

8.4.1. Germany

8.4.2. France

8.4.3. United Kingdom

8.4.4. Spain

8.4.5. Others

8.5. Middle East and Africa

8.5.1. Saudi Arabia

8.5.2. UAE

8.5.3. Others

8.6. Asia Pacific

8.6.1. China

8.6.2. Japan

8.6.3. South Korea

8.6.4. India

8.6.5. Taiwan

8.6.6. Thailand

8.6.7. Others

9. COMPETITIVE ENVIRONMENT AND ANALYSIS

9.1. Major Players and Strategy Analysis

9.2. Emerging Players and Market Lucrativeness

9.3. Mergers, Acquisitions, Agreements, and Collaborations

9.4. Vendor Competitiveness Matrix

10. COMPANY PROFILES

10.1. Antminer

10.2. BIOSTAR Group

10.3. ASICrising GmbH

10.4. Bitmain Technologies Ltd.

10.5. BitDragonfly

10.6. BitFury Group

10.7. DigBig

10.8. Gridchip

10.9. BTCGARDEN

10.10. Butterfly Labs, Inc.

Companies Profiled

Antminer

BIOSTAR Group

ASICrising GmbH

Bitmain Technologies Ltd.

BitDragonfly

BitFury Group

DigBig

Gridchip

BTCGARDEN

Butterfly Labs, Inc

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