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Author: Admin | 2025-04-28
Bitcoin mining uses about 150 Terawatt-hours (TWh) of electricity in a year. That’s more than the electricity consumed by the entire province of Ontario in 2021 (133.8 TWh), with over 14 million people.This consumption and its impact on the environment has been one of the main arguments against cryptocurrencies, but it’s much more complex. Mining stocks remain one of the best ways to gain crypto exposure without holding crypto assets. And if it’s the kind of investment exposure you are looking for, then the best crypto mining stocks in Canada below are worth considering.What Do You Need To Know About Crypto Mining Stocks?Crypto mining stocks can be considered a misleading name as most publicly-traded crypto miners focus on one crypto–Bitcoin. It’s the most valuable and the hardest to mine crypto, which requires a lot of energy and is the main cost driver. Crypto mining is the process of creating new cryptocurrency tokens by solving complex mathematical problems.When looking into crypto mining stocks, a few things to consider are:Green energy usage: Most of Canada’s best crypto mining stocks focus on 100% renewable-based mining operations. This improves the ESG profile of the company and provides a layer of protection against future sanctions aimed at crypto mining operations. Cost of mining one Bitcoin: The lower the cost from other crypto miners, the better its chances of turning a profit.Hash rate: This is the computing power associated with crypto mining. Simply put, the higher the hash rate, the more crypto a company can mine in a given period.But the most important thing you need to look at is the underlying crypto the miner focuses on (usually Bitcoin). When the crypto value is high, it’s profitable to mine, hold, or sell. If the value is going down and the gap between it and the cost of mining each crypto unit is shrinking, mining might not be profitable.So the underlying crypto is usually the main factor influencing a crypto mining stock. This sometimes results in contrarian performance against traditional tech assets. An example would be May 2021-July 2021, when three of Canada’s largest crypto mining stocks
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