Institutional mining refers to the large-scale mining operations conducted by companies or organizations rather than individual miners. These institutions typically have substantial resources and can invest in advanced hardware, efficient energy sources, and specialized facilities.Due to their scale, institutional miners can take advantage of economies of scale, resulting in lower operational costs per unit of mined cryptocurrency. This allows them to remain competitive, especially during periods of price volatility.Institutional miners often employ strategies like pooling resources, entering into power purchase agreements, or creating partnerships to secure favorable energy rates. Their significant presence can influence market dynamics, as they may hold large amounts of mined cryptocurrency, impacting supply and demand.In recent years, the rise of institutional mining has contributed to the trend of increasing centralization in the mining sector. As these entities grow, concerns about decentralization and network security may arise, as fewer players control a larger share of the mining power.