BitMEX Research Shows Gross Losses of $2.2 Million for Miners of Bitcoin SV (BSV)
Everyone in the cryptocurrency industry remembers the damage that happened when Bitcoin Cash implemented their hard fork. Various powerful figures in the crypto space chose their sides, either going with the ABC blockchain or the SV blockchain until one proved to be dominant.
The fork ultimately was due to differences between Roger Ver (aka Bitcoin Jesus) and Craig Wright (the self-proclaimed Satoshi Nakamoto). Recent research from BitMEX finds that there appears to be a massive loss that miners of Bitcoin SV have been subjected to, adding up to $2.2 million.
In a tweet from BitMEX on April 13th, the platform said that the data since the November 2018 shows this loss, which is “a negative gross profit margin of 12%.” The company added that the data reflected the mining electricity costs alone.
Based on our estimates and current coin prices, since the November 2018 split, Bitcoin Cash SV miners have accumulated gross losses of US$2.2m (a negative gross profit margin of 12%). This is accounting for mining electricity costs onlyhttps://t.co/U9hbK4peip pic.twitter.com/LE5elvKDge
— BitMEX Research (@BitMEXResearch) April 12, 2019
Since the hard fork on November 14th, Bitcoin Cash ABC has seen 265,388 coins mined. The blockchain, which was ultimately the victor between the chains and renamed to be Bitcoin Cash, reflects a $31.9 million estimated cost of mining. BCH miners ultimately brought in $74.3 million in mining revenue.
Bitcoin Cash SV, which was renamed to Bitcoin SV, has seen 263,550 coins mined, bringing in $18.4 million in mining revenue. Ultimately, this means that the miners lost $2.2 million, which the chart and research supports. Unfortunately, Bitcoin SV is familiar with losses, as they had a similar report from BitMEX about four days after the hard fork occurred.
Hash war estimated costs live update
* Estimated leasing fees: $8.1m
* Combined gross losses: $6.1m
Even assuming cheap energy costs, SV miners have a negative gross margin of 353% & $1.4m of gross losses. @CalvinAyre @ProfFaustus cant keep this up forever. pic.twitter.com/CdTQm0vVf4
— BitMEX Research (@BitMEXResearch) November 19, 2018
Bitcoin Cash has seen a lot of success since the hard fork, especially in comparison with its former competitor.
It does not look like Bitcoin SV will be getting any good press soon, especially considering the drama surrounding Craig Wright and his lawsuits against an anonymous user who insists that he is not the creator of Bitcoin as he claims to be. There has been a substantial number of investors in the cryptoverse that have come to the defense of the anonymous Hodlonaut.
One of the most well-known supporters of the anonymous user is Binance CEO Changpeng Zhao. Zhao voiced his frustration on Twitter over the feud, boldly stating that “Craig Wright is not Satoshi.” He followed the statement with a threat to delist Wright’s Bitcoin SV token if his actions persist.
Craig Wright is not Satoshi.
Anymore of this sh!t, we delist! https://t.co/hrnt3fDACq
— CZ Binance (@cz_binance) April 12, 2019
Clearly, this move would be even more damaging to Bitcoin SV, doing nothing to help with the struggle that the crypto asset has faced thus far. Read more on how bitcoin mining works and how to be apart of the distributed BTC ledger.