Miners transferred $6,3 billion in bitcoins to exchanges in a month

This is the highest figure since the beginning of the year, with 195 663 BTC received on the platforms

06.06.2022 - 14:55

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What’s new? In May, miners transferred 195 663 BTC to cryptocurrency exchanges, which is the biggest monthly flow since January 2022, according to Coin Metrics. Based on the average bitcoin price in May ($32 000), the total value of assets transferred to the platforms was around $6,3 billion.

Source: Bloomberg.com

What is the situation with data centers? Major companies such as Riot Blockchain are also among the miners that had been transferring their assets to exchanges. The company had previously accumulated bitcoins with the expectation that their value would keep rising, Bloomberg reports. However, it is now facing difficulties in building a 1-gigawatt facility in Texas. Will Foxley, director of content at Compass Mining, a company that provides hosting services for mining, noted:

“I think miners are just talking about the macro environment and think it is probably prudent to sell bitcoin in these levels in order to keep the operations safe.”

Information on the Bloomberg website

Cathedra, a small cryptocurrency mining company, has sold almost all of its assets to continue mining. The company’s head Antonin Scalia noted:

“We have spent the last several weeks restructuring our balance sheet and operations to ensure Cathedra is well positioned to endure a prolonged economic downturn.”

Earlier, a report by the mining company Compass Mining revealed that the flow of large miners to crypto exchanges peaked since January 2022. Cryptocurrency mining became less profitable and participants started selling their assets on the open market to cover power expenses.

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