As institutional capital flows into Bitcoin and the mining sector undergoes rapid evolution, industry players are rethinking their strategies—not just to survive market cycles but to create long-term, resilient business models. From regulatory clarity to financial innovation, a new wave of consolidation is reshaping the landscape.
Amid these shifts, Canadian Bitcoin mining company Pow.re and Swiss-based Bitcoin financial services firm Block Green have announced a strategic merger that brings together energy-backed mining infrastructure with a marketplace for Bitcoin-denominated financial products.
In an exclusive conversation with TechObserver.in‘s Mohd Ujaley, Mike Cohen, CEO, Pow.re, and Sebastian Hess, CEO, Block Green, spoke about the rationale behind the merger, the maturing mining ecosystem and how institutional and retail investors are increasingly looking to gain exposure through structured, yield-generating products.
“It is a natural and timely union,” said Cohen. “Block Green brings a strong front-end investor focus, and Pow.re brings the mining infrastructure and liquidity.” Hess added, “Together, we are creating a vertically integrated company that offers mining exposure in a more structured and scalable way.”
Edited Excerpts:
Mohd Ujaley: You are merging your companies, which brings both opportunities and challenges. Could you share what unique value propositions each of you is contributing to this partnership?
Mike Cohen: We have complementary businesses, and for a long time we have been aware of each other’s offerings. From Pow.re’s perspective, we were never looking to build a marketplace for the type of hash rate products we are offering. We are more of a technological solution provider, whereas Block Green was focused on the marketplace and regulatory compliance. This merger allows us to go to market much faster than if we had done it ourselves. Block Green was already a yield-generating business, so this felt like a natural and timely union. It enables us to act more quickly.
Sebastian Hess: I agree with Mike. We are two different businesses with strong synergies. One is a mining firm with multiple mining assets, and the other is more technology and finance oriented. By coming together, we are building a vertically integrated business. This allows us to bring mining products to investors, leveraging the know-how and skill sets both companies possess.
Mohd Ujaley: Both your organisations have operations in different regions. How do you plan to scale your activities across these various geographies?
Mike Cohen: One of the benefits is that Block Green has a strong platform, but it largely acted as a brokerage. They did not have their own hash rate or dependable access to it, which made it difficult to consistently close transactions. Pow.re brings that liquidity on the sell side, which in turn helps grow volume on the platform. These are our key complementary strengths. We are also looking to improve the product, make some immediate technological upgrades and implement changes to the offering that appeal both to the miners and investors seeking exposure.
Sebastian Hess: As Mike said, Bitcoin is an international ecosystem, and the way we have positioned ourselves reflects that. Block Green is more Europe-centric due to our regulatory licences and entities, while Pow.re is Canadian and owns physical mining assets. These locations were chosen based on where we were and our fast go-to-market strategies. Geographic differences are less of a challenge than other operational factors. The Bitcoin market itself is still evolving.
Mohd Ujaley: You both have mentioned the emergence of a de-protagonised structure. How do you view this in terms of market maturity?
Mike Cohen: There is significantly more institutional acceptance now than in previous years, both because of regulatory compliance for products like Bitcoin ETFs and even at a nation-state level. The fact that the United States has established reserve exposure to this asset class shows progress. The broader Bitcoin narrative remains the same, but the players are different and significantly larger. The market is evolving and this also opens new opportunities for entities like corporations holding Bitcoin on their balance sheets. They are increasingly looking for ways to put that capital to use. Institutional and large-scale investors are now entering the space in meaningful ways.
Mohd Ujaley: So your outlook on the overall ecosystem is quite positive?
Mike Cohen: I would say I have a nuanced view, but generally yes, I am positive. It’s been good for price and visibility. The fact that investors can now hold exposure through a regulated product is certainly a positive step. Does it stray from Bitcoin’s fundamentals? Yes, a little. But different structures serve different audiences. There are many who would never have participated in Bitcoin in its purest form. A lot of people are not comfortable self-custodying assets or managing private keys. So no, it’s not what it was a decade ago, but that evolution is not necessarily a bad thing.
Mohd Ujaley: Sebastian, would you like to add something, especially regarding the involvement of larger investors in mining? Does this bring more value or more challenges?
Sebastian Hess: It definitely brings value. When larger investors enter any sector, they bring changes as well. Running a mining operation is increasingly complex and expensive. There are limits to growth capacity, especially in terms of power infrastructure in many countries. Hosting conditions are also volatile, reacting to economic and geopolitical shifts. Larger mining firms can access better deals and cheaper capital, creating barriers for smaller entrants. This will inevitably lead to more consolidation. On the financial side, mining has matured into its own asset class. More investors—both retail and institutional—now understand it, which is a good development. We’ll see how long it lasts, but for now we remain optimistic.
Mohd Ujaley: Given the evolving landscape and increasing complexity, how can this partnership help involve more players in the ecosystem and build a more stable mining model?
Mike Cohen: For us, diversifying revenue beyond just mining is part of the rationale behind this merger. While we stay focused on Bitcoin mining, we are also developing new revenue angles. This partnership helps the ecosystem because it makes hash rate—an under-leveraged asset—more liquid. Some mining firms have access to capital, others are constantly fundraising. Our goal is to educate the mining community, from small operators to large institutions, about how they can use hash rate as leverage. At the same time, there is growing demand for Bitcoin-denominated yield products. Miners are essentially Bitcoin producers willing to exchange future production for market access, which makes our offering appealing.
Mohd Ujaley: You are also expanding into new markets, particularly in developing countries. With the increasing demand for energy, how do you see the trend of mining firms entering the energy sector themselves?
Mike Cohen: Yes, that is definitely a trend. Some mining companies are now entering the energy production space to gain more control over their operations. This makes them less reliant on external agreements with energy providers who might later become unfavourable to mining. For larger players, this vertical integration could become more common. If mining persists and consolidation increases, this may become a key development to watch.
Mohd Ujaley: Coming from India, I have to ask about your view of emerging markets such as India and the broader Middle East, particularly the UAE, which has already become quite active. How do you perceive these markets?
Sebastian Hess: The UAE has indeed become a very dynamic place for business. There’s significant capital being invested in technology and innovation. The government is trying to build a sustainable ecosystem that goes beyond proof-of-concept and towards scaling viable projects. In the crypto space, there are regulatory gaps that have enabled companies to establish themselves in the UAE and then expand across the Asia-Pacific region. This has drawn a lot of talent and investment, while in the US and Europe we are seeing more regulatory caution. India, on the other hand, I know less about, though it’s clearly booming in stock markets and tech. In terms of crypto mining, it’s hard to assess.
Mike Cohen: There is capital everywhere that’s looking for exposure to Bitcoin and mining, but mining is geographically dependent. You need cheap energy and not every country has that. India, for example, is not known for low-cost energy suited to mining. Financial mining products offer a way for investors in those regions to gain exposure without direct mining involvement. In the US—Texas, for instance—you can build an energy asset and monetise it through mining. That isn’t easily done in Asia-Pacific, where a financial instrument may be a more accessible route for exposure.
Mohd Ujaley: Now that you have come together through this merger, can you outline specific areas of collaboration and what your go-to-market strategy looks like for the next year or so?
Mike Cohen: A key objective is to bring technology to Block Green. Their product offering needed a stronger technology stack, which we can provide. On the other hand, they bring a customer-facing business model that we at Pow.re never had. We have always mined for ourselves, without needing to deal with external clients. Their experience in structuring and marketing financial products is something we value highly. So we are improving the product offering with our technological expertise while learning from their investor-focused approach. It’s a solid match.
Sebastian Hess: I completely agree. We are a technology and software company with financial ambitions. They are a technology-driven mining firm with deep knowledge of operations. This merger brings together the best of both worlds. It will help with distribution, product innovation and building solutions for a diverse user base—miners, institutional investors and retail participants. Our ambition is to industrialise the business and offer mining exposure in a structured and reliable way.
