Bitcoin ETFs Outpace Miner Production in December 2024, Acquiring 3X More BTC

December 2024 saw a significant surge in demand for Bitcoin, with Spot Bitcoin exchange-traded funds (ETFs) in the United States scooping up nearly three times the amount of Bitcoin produced by miners during the same month. Spot Bitcoin ETFs accumulated an eye-popping 51,500 BTC in December, according to data from Apollo and BiTBO.

This impressive influx of Bitcoin into ETFs coincided with a strong rally in the cryptocurrency market, with Bitcoin reaching a new all-time high of $108,135 on December 17, as reported by CoinGecko. The growing demand for Bitcoin was evident in the Spot ETF market, where investors appeared eager to gain exposure to the cryptocurrency's price action.

In stark contrast, Bitcoin miners added only 13,850 coins to the circulating supply during the month, as per data from Blockchain.com. This means that demand from Bitcoin ETFs outpaced the production by miners by approximately 272%, illustrating the intense appetite for Bitcoin as a financial asset.

The momentum has continued into 2025, with Bitcoin ETF inflows hitting new highs in the early days of January. On January 3 alone, more than $900 million worth of Bitcoin was absorbed by ETFs, with estimates suggesting even larger inflows of nearly $1 billion on January 6, according to preliminary data.

Bitcoin Mining Production Insights

Despite the surge in ETF purchases, Bitcoin mining operations continued to produce new coins, though at a far slower pace. Marathon Digital, the largest Bitcoin mining company by market capitalization, reported the production of 9,457 BTC in December, making it one of the most significant contributors to the network's overall supply.

Other major miners also reported their December figures. Riot, for example, mined 516 BTC, a 4% increase over the previous month. Cleanspark, another notable mining firm, produced 668 BTC during the same period. Core Scientific, known for its large fleet of mining machines, mined 291 BTC in December, while Bitfarms reported the production of 211 BTC.

Smaller players like Terawulf and cloud mining provider BitFuFu added 158 BTC and 111 BTC, respectively, to the circulating supply in December. Despite their contributions, the overall production remained far below the level of ETF acquisitions.

Looking Ahead

The disparity between Bitcoin ETF demand and miner production has raised questions about the broader supply-demand dynamics in the Bitcoin market. With such a significant portion of Bitcoin's supply being absorbed by ETFs, it remains to be seen how the balance between institutional investment and the miner-driven supply will evolve in the months ahead. As the Bitcoin market continues to grow and institutional players play an increasingly prominent role, the demand for Bitcoin appears poised to outstrip miner production for the foreseeable future.