Bitcoin monthly digest: August 2024

The Fall's upon us! If you're just back from the holidays and feel a bit disconnected from the recent summer developments in Bitcoin, this newsletter is for you. Today, we'll be reviewing some of the most consequential events of the last month. Let's jump right into the events of August and explore the newest developments in the Bitcoin world.

• Network stability - an update

  
  

Bitcoin's 7-day average mining hash rate reached a new all-time high of 667 exahashes per second (EH/s) in August, and is now stable around 630 EH/s. This milestone is significant as since the start of the year, Bitcoin mining has enjoyed growing popularity amongst grid operators of Texas and PJM (Pennsylvania, Jersey and Maryland) amongst others. Bitcoin mining activities are nowadays firmly recognised as a stabilising factor, besides promoting the development of future intermittent, renewable energy plans.

Major mining companies, such as Whatsminer and MicroBT, are launching more powerful machines to capitalize on the surge. Whatsminer introduced four new rigs and a solar mining container, while MicroBT unveiled its M6XS+ miners. Additionally, Riot Platforms expanded its operations by acquiring Block Mining for $92.5 million.

The rising price of Bitcoin has boosted miner revenue, reducing selling pressure and stabilizing network activity. With increased innovation, political support, and a strong hash rate, miners are expanding infrastructure, signaling confidence in Bitcoin's long-term growth.

• Bitcoin ETFs coming to Europe!
  

Capula Management, Europe's fourth-largest investment manager, has revealed a nearly $450 million investment in spot Bitcoin ETFs through an SEC filing. The firm holds over $200 million in Fidelity's spot Bitcoin ETF (FBTC) and around $250 million in BlackRock's spot Bitcoin ETF (IBIT), reflecting its confidence in Bitcoin's potential.

This move highlights the growing acceptance of Bitcoin by traditional financial institutions, as the SEC's approval of spot Bitcoin ETFs provides an accessible way to invest in the digital asset. Despite a recent price drop, major firms like BlackRock, Fidelity, and others continue to hold or increase their Bitcoin investments.

• A eulogy to Hal Finney - a Bitcoin hero

August 28th marked the tenth anniversary of the passing of Hal Finney, a key figure in the early days of Bitcoin and a respected cryptographer. Finney, who died in 2014 from ALS complications, is celebrated for his significant contributions to Bitcoin and his visionary understanding of its potential.

Finney's early career included work as a video game developer and a role at PGP Corporation, where he helped develop public-key cryptography software. His passion for digital privacy led him to the cypherpunks community, where he created the first reusable proof-of-work (RPOW) system in 2004, a precursor to Bitcoin's proof-of-work mechanism. Best known for his early involvement with Bitcoin, Finney recognized its groundbreaking potential and became one of its earliest contributors. He famously received the first Bitcoin transaction from Satoshi Nakamoto and helped develop the protocol. His 2009 tweet, "Running bitcoin" has become an iconic moment in Bitcoin history.

Despite his ALS diagnosis in 2009, Finney continued working on Bitcoin, using eye-tracking software as the disease advanced. In a 2013 Bitcoin Talk Forum post, he shared how, despite his condition, he found solace in programming and was proud of his legacy.

That's a wrap for now, folks! Don't be shy: get in touch with us by using the "Contact us!" button at the top of this page, or leave a comment down below with any questions or comments. We look forward to keeping you posted on the latest developments in Bitcoin-land. See you in a few weeks with our September updates!