Advantages and Market Prospects of the Mining Hardware Industry

The mining hardware industry is steadily progressing along an upward development trajectory, driven by technological innovation, the sustained popularity of the cryptocurrency market, and the continuous expansion of blockchain application scenarios. It exhibits numerous notable advantages and holds immense potential for future growth.

With the rapid advancement of semiconductor technology, mining hardware chips are undergoing continuous iterations and upgrades, significantly improving computational efficiency while substantially reducing energy consumption ratios. These improvements lay a solid foundation for enhanced mining hardware performance.

At the same time, after years of development, the cryptocurrency market has attracted a vast number of investors and participants worldwide. The price surges of major cryptocurrencies such as Bitcoin and Ethereum have further stimulated strong demand for mining equipment.

Moreover, the widespread application of blockchain technology in areas such as finance, supply chain management, and public governance has led to an explosive growth in demand for underlying computing power. This trend is undoubtedly creating a broader market space for the mining hardware industry.

According to authoritative market research institutions, the global mining hardware market is expected to expand steadily in the coming years at a considerable rate, demonstrating enormous growth potential.

Throughout the development of the mining hardware industry, many highly representative and successful companies have emerged, offering valuable experience and exemplary models for the industry's advancement.

Ø Canaan Inc., a pioneer in the mining hardware industry, successfully listed on the NASDAQ Stock Exchange on November 21, 2019. The IPO was priced at $8.99 per ADS, with an initial offering of 10 million ADS, raising $90 million in total. According to Frost & Sullivan, by the first half of 2019, Canaan accounted for 21% of the total global Bitcoin mining hash rate. In terms of mining hardware sales volume, its market share reached 23.3%, ranking it second among mining hardware manufacturers worldwide. This achievement highlights Canaan’s strong capabilities in R&D, manufacturing, and market expansion.

Ø Bitmain is widely recognized as the undisputed leader in the mining hardware industry. For a long time, Bitmain has held more than 50% of the Bitcoin mining hardware market share, maintaining an absolute dominant position. Its Antminer series has gained global popularity due to its advanced chip design, excellent manufacturing processes, and stable, high-performance operations. In chip design, Bitmain boasts a top-tier R&D team that remains at the forefront of semiconductor innovation, continually releasing high-performance mining chips with remarkable improvements in both computational power and energy efficiency. In manufacturing, Bitmain has established a comprehensive production system with stringent quality control, ensuring every Antminer meets high standards and delivers reliable mining solutions to users.

Ø BlackRock, a global giant in asset management, has had a far-reaching impact on the mining hardware and broader mineral resource industries through its investment strategies. In 2024, BlackRock completed a $19 billion acquisition of Global Infrastructure Partners (GIP), thereby bringing critical infrastructure assets—including ports, energy pipelines, and 5G base stations across 12 countries—into its portfolio. This strategic move demonstrates BlackRock’s global vision and financial strength in asset allocation. More importantly, by deeply engaging in energy infrastructure, BlackRock indirectly influences the development, transportation, and supply chain of mineral resources. In the mining hardware industry, energy costs are a key determinant of mining profitability. BlackRock’s positioning in the energy sector could have significant implications for the industry's energy supply, cost structure, and future development direction.

In summary, the mining hardware industry is exhibiting robust growth momentum, fueled by continuous technological innovation and strong market demand. The success stories of industry players like Canaan and Bitmain clearly demonstrate the immense potential of this sector. Meanwhile, strategic moves by financial giants such as BlackRock add complexity and opportunity to the industry's future. With multiple driving forces at play, the mining hardware industry is poised to carve out broader development opportunities and assume an increasingly important role on the global stage of economic and technological advancement.