Investors are increasingly discontent with the excessive salaries of Bitcoin mining executives, which are not aligned with shareholder interests, as per research from asset manager VanEck. The average shareholder approval for executive pay packages in Bitcoin mining firms is only 64%, significantly lower than the 90% approval seen in S&P 500 companies. In 2023 and 2024, Bitcoin miner executives earned average salaries of $6.6 million and $14.4 million, respectively, largely due to equity-based compensation that accounted for 79% of pay. Riot Platforms stood out with a massive equity award of $79.3 million in 2024, highlighting stark disparities in pay-for-performance alignment. While some miners have adopted performance stock units to tie executive pay more closely to performance metrics, the overall compensation practices remain heavily weighted towards equity grants. The study points to the need for Bitcoin miners to revamp their executive compensation strategies as they transition into larger operational entities.

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