Production cost is the all-in expense of mining a single coin, including hardware, electricity and other overheads. When the market price falls to meet that figure, the least efficient operations start running in the red and face a choice of either absorbing losses or switching off their machines.
A Brutal Stretch for the Market When the Math Stops Working for MinersThe strain helps explain why a growing share of public miners has pivoted toward artificial intelligence (AI) and high-performance computing, leasing data-center capacity to AI tenants whose revenue is far steadier than block rewards. For some operators, that shift has become a larger growth driver than mining itself.
