Thermo Cap

Cumulative miner revenue at time of issuance — measures the total cost basis of all mined Bitcoin valued at the price on their creation date

Property	Value
Category	Valuation Metrics
Unit	USD
Resolution	1d
Assets	BTC
Tier	Basic
API Endpoint	GET /v1/holder/valuation
Field	thermo_cap

Overview

Thermo Cap (Thermalized Capitalization) measures the cumulative revenue earned by Bitcoin miners at the time each coin was issued. It represents the total cost basis of all mined Bitcoin, valued at the price on the day each block reward was created.

Unlike Market Cap which reflects current market sentiment, or Realized Cap which reflects the price at last movement, Thermo Cap captures the fundamental security spend — what miners collectively received for producing Bitcoin's supply.

Formula

$$\text{Thermo Cap} = \sum_{d=1}^{N} \text{Daily Issuance}_d \times \text{Price}_d$$

Where:

• $\text{Daily Issuance}_d = \text{Circulating Supply}_d - \text{Circulating Supply}_{d-1}$
• $\text{Price}_d$ is the BTC/USD price on day $d$

Interpretation

• Rising Thermo Cap means miners continue to accumulate revenue, reflecting ongoing network security investment
• Rate of growth slows after each halving as block rewards decrease
• Thermo Cap can only increase (never decrease) since issuance is always positive

Use Cases

• Valuation baseline: Thermo Cap provides a "floor" valuation based on cumulative production cost
• Market Cap / Thermo Cap Ratio: Comparing market valuation to miner cost basis reveals over/undervaluation cycles
• Investor Cap derivation: Realized Cap minus Thermo Cap yields Investor Cap — the aggregate cost basis of non-miner holders
• Security spend analysis: Tracks cumulative expenditure securing the Bitcoin network

API Usage

curl -H "Authorization: Bearer YOUR_API_KEY" \
  "https://api.blocklens.co/v1/holder/valuation?start_date=2024-01-01&end_date=2024-12-31&limit=365"

Related Metrics

• Realized Cap — Sum of LTH + STH realized cap
• Market Cap — Total market cap
• MVRV — Ratio of market value to realized value across all holders
• Realized Price — Realized Cap / Circulating Supply