Thermo Cap

Thermocap sums every block reward valued at the price on the day it was mined — the total revenue miners have ever earned for producing bitcoin. It is commonly read as the network's cumulative security spend, or a lower-bound proxy for capital inflow. The "thermo" nods to the real energy cost mining consumes.

On its own, Thermocap is a monotonically rising cumulative curve — not very informative. The useful object is Market Cap ÷ Thermocap: the valuation premium the market assigns to each dollar of historical security spend. That ratio has peaked near bull-market tops and troughed in deep bears — conceptually similar to a price-to-book ratio, anchoring price to production cost.

Thermocap prices each coin at its issuance-day price, so the huge early-era supply mined at near-zero prices barely registers — the ratio drifts upward structurally across cycles, and thresholds must be treated as moving. Miner revenue also isn't miner cost (margins fluctuate), so "security spend" is an approximation, not accounting fact. One instrument in a long-cycle valuation panel — not a standalone.

Beyond cycle positioning, gauge short-term sentiment with market-wide liquidations and BTC liquidation data.