Ledn’s John Glover suggests Bitcoin miners should keep their mined BTC as collateral for loans instead of selling, which could help them navigate the competitive landscape, especially amid trade tensions affecting mining equipment costs and overall market dynamics.
Bitcoin miners are being advised to rethink their strategies regarding operating expenses. John Glover, chief investment officer at Ledn, suggests that these firms should hold onto their mined Bitcoin instead of selling it to cover costs. By doing so, he claims they can benefit from potential price appreciation, defer taxes, and even earn extra revenue via Bitcoin-backed loans, which can be used as collateral for fiat loans.
In a recent interview with Cointelegraph, Glover elaborated on the advantages of keeping mined BTC. He mentioned that miners understand the value proposition behind Bitcoin and its potential for future price spikes. He argued, “If you are mining, you are generating all this Bitcoin. You do not want to sell any of your Bitcoin.” This view aligns with a debt-based approach being adopted by companies like Strategy that are leveraging corporate debt to acquire Bitcoin.
This strategy could provide much-needed relief to miners who are currently feeling the strain of intense competition and rising operational costs. The current landscape has been toughened by trade tensions, particularly those stemming from the protectionist policies of the Trump administration. This macroeconomic uncertainty adds to the pressure faced by mining companies, compounding an already challenging environment.
In fact, the Bitcoin mining sphere is marked by high competition and skyrocketing capital costs, especially as miners deploy more advanced technology like application-specific integrated circuits (ASICs). These expensive mining rigs are crucial for the process of securing the network and creating new blocks, but trade tariffs imposed by the US have raised alarms about unsustainable costs for these tools.
Data shows that more than 40% of the mined Bitcoin was sold off by miners in March 2025, reflecting heightened market anxiety. This sell-off marked a significant shift and the highest liquidation rate since October 2024, deviating from a trend that had started post-halving in April 2024. This kind of pressure only underscores the challenges of the mining industry amid economic shifts and uncertainties.
