Bitcoin miners face survival test in 'halving'

will soon face a halving of the reward for operating the most popular cryptocurrency, in a pivotal event that is a test of survival, industry commentators say.

That reward has been fixed for the last four years at 6.25 bitcoins per new block, and is expected to drop to 3.125 bitcoins later this month. The new reward will total more than $210,000 according to Wednesday's price level."The block reward halving tends to 'shake-out' the weaker mining operations," Simon Peters, analyst for trading company eToro, told AFP.

Yet diminishing returns could stop miners from investing in the latest and quickest computer technology -- and they could even pause operations as galloping costs outweigh earnings."Their probability of mining a block reduces due to having less computational resources," he added. "The big things that we've done is we've been increasing our fleet efficiency," said Taylor Monnig, head of mining operations at CleanSpark.

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