With markets off their peak, access to capital has also become somewhat restricted for the miners who need large amounts of funding to stay competitive and grow. “Access to the three M’s matters more than ever and based on investors' concerns around capital needs, accessing capital efficiently seems to matter the most right now,” said investment bank BTIG’s analyst Gregory Lewis in a research note this week.
This was echoed by investment bank D.A. Davidson’s analyst Chris Brendler in a recent research report. “We expect improved execution [of mining operations] and broadening access to debt capital to be positive catalysts [for the miners] near term,” Brendler wrote. As the industry matures, debt capital is preferred by investors, given its nondilutive nature. Indeed, offering equity in the current market has often not been kind to the share price of miners. Most recently, shares of TeraWulf , which uses 100% clean energy to power its mining operations, tumbled about 30% on April 12 after the company said it would