Since the beginning of 2024, publicly traded Bitcoin mining companies have collectively spent more than $3.6 billion on property, plant, and equipment (PP&E).

This includes money spent on mining hardware, data center upgrades, and other infrastructure needed to maintain and expand their operations.

Record Spending Incoming

A November 28 newsletter from TheMinerMag revealed that mining companies’ investments in PP&E between July and September 2024 were the highest since Q1 2022 when they forked out a record $1.246 billion.

In Q3 2024, the firms paid out $1.226 billion, only $20 million less than the Q1 2022 numbers. CleanSpark has yet to release its financial report for that period, and analysts feel that adding the Nevada-based miner’s outlay could allow the industry to set a new record for net PP&E expenditure in a single quarter.

The BTC miners have invested about $3.49 billion in equipment and upgrades this year, including $1.18 billion between January and March and $1.07 billion between April and June, in addition to the Q3 figure. This is already nearly $900 million more than the sector’s outlay in the entirety of 2022.

Hardware Purchases Dominate Spending

The uptick in investment following a subdued 2023, when the companies put about $1.3 billion into PP&E, coincides with the Bitcoin network’s hashrate going up to nearly 790 exahashes per second (EH/s).

Furthermore, the cryptocurrency’s mining difficulty also hit a new all-time high of 101.6 T on November 5, with experts predicting it will probably go up by at least another 2% in the coming days.

It means that mining operations will have to focus on efficiency and scale to stay competitive and profitable. As such, most of the PP&E money invested in the last year went towards upgrading and expanding mining hardware.

Preorder data tracked by TheMinerMag between July 2023 and March 2024 sho