Key Takeaways
- US-listed bitcoin miner executive pay doubled to $14.4M in 2024, mostly due to stock-based compensation.
- Shareholder support for executive pay proposals in the mining sector fell to 64%, signaling growing resistance and concern over dilution.
- Some miners are shifting to performance-linked stock awards, but disparities in pay-for-performance alignment persist across companies.
Executive compensation at US-listed bitcoin mining companies has seen a dramatic rise, with average pay packages reaching $14.4 million in 2024—a 118% increase over last year’s $6.6 million, according to VanEck.
This far exceeds average executive pay in the energy and technology sectors, despite base salaries remaining similar at $474,000 in 2023.
Stock compensation
The primary driver behind this surge is an industry-wide reliance on stock-based compensation, which accounted for 89% of miner executive pay in 2024.
Such equity-heavy structures are drawing increasing scrutiny from shareholders, who worry about dilution and weak alignment with long-term performance.
VanEck’s analysis found that while 99% of executive pay proposals passed in corporate America during the 2024 proxy season, bitcoin miners received just 64% average support, indicating significant shareholder resistance.
6 of 8 miners
Six of the eight reviewed miners, including Riot Platforms, Core Scientific, Hut 8, Cipher Mining, TeraWulf, and Marathon Digital, have expanded the use of performance stock units (PSUs) that vest over several years and are tied to share price or total shareholder return.
Marathon has transitioned fully to PSUs in 2025, while Core Scientific reinstated its long-term incentive plan after reorganization.
However, CleanSpark and Bit Digital have not yet implemented PSUs, despite authorizing them.
VanEck’s research
VanEck’s research highlights stark disparities in pay-for-performance alignment.
At TeraWulf and Core Scientific, executive pay equaled about 2% of 2024 market-cap growth, while at Riot, executive compensation reached 73% of market-cap gains, and at Marathon, 18%.
Shareholder frustration centers on dilution risks and perceived inequities in profit distribution as mining profitability rises.
Investors are demanding greater transparency, clearer profit allocation, and more sustainable business practices as the industry matures.
