Why I Bought Stock in IREN
A Thought Process Breakdown
Stock investing is always a mix of research, instinct, and timing. Recently, I decided to buy stock in IREN, a move that might surprise some but made complete sense to me. This wasn’t some impulse buy or a random pick—I took the time to listen, analyze, and connect the dots. A big influence? A discussion I heard on My First Million, a podcast I regularly tune into for insights on business, startups, and investments.
So why did I grab some stocks of IREN? Let’s break it down.
What is IREN?
Before we dive into my reasoning, let’s talk about what IREN actually is. IREN, short for Iris Energy, is a Bitcoin mining company with a strong emphasis on sustainability. Unlike many crypto mining firms that get a bad rap for their excessive energy consumption, IREN sets itself apart by using 100% renewable energy. That alone puts it in an interesting position, especially as environmental concerns around Bitcoin mining continue to grow.
They operate high-performance data centers and focus on efficient, large-scale Bitcoin mining. With the next Bitcoin halving event on the horizon and the increasing need for sustainable mining solutions, IREN seems poised for long-term success.
The My First Million Influence
Listening to My First Million is like sitting in a room with really smart entrepreneurs and investors who break down big ideas, trends, and emerging opportunities. They talked about IREN in a way that clicked for me—it wasn’t just about Bitcoin mining, it was about how they were positioning themselves in a changing market.
Some key takeaways from the discussion that stood out to me:
Renewable Energy Focus – The hosts emphasized how companies that align with sustainability trends often attract institutional investors. With governments pushing for greener tech and corporations needing cleaner energy solutions, IREN fits into a long-term macro trend.
Bitcoin’s Cyclical Nature – Bitcoin operates in cycles, with halvings reducing the supply and historically leading to price surges. Companies positioned well before a Bitcoin rally tend to benefit massively. The next halving is in 2024, so companies like IREN that are already efficient have an edge.
Survivability Factor – Unlike speculative crypto projects that might not exist in five years, Bitcoin mining companies that focus on infrastructure and efficiency have staying power. The conversation highlighted how IREN’s strategy is built on sustainability, which helps it avoid regulatory scrutiny while keeping costs low.
That discussion made me dig deeper.
Why I Liked IREN Stock
A podcast can only be the starting point—I did my own research before making the decision. Here’s why I felt confident buying IREN.
1. Bitcoin's Long-Term Potential
Bitcoin isn’t going anywhere. The asset has survived multiple crashes, and its adoption continues to grow. The more Bitcoin remains part of the financial ecosystem, the more demand there will be for mining. Companies like IREN, which mine Bitcoin efficiently, stand to gain from that.
Additionally, institutional adoption of Bitcoin is increasing. ETFs, major banks, and corporations are holding Bitcoin on their balance sheets. Mining companies will benefit from this institutional interest, especially ones that operate within regulatory-friendly frameworks.
2. Energy Costs and Efficiency Matter
Bitcoin mining profitability is all about energy costs. Miners that can access cheap, renewable energy will always have a competitive edge. IREN’s use of hydropower and its focus on sustainability give it a major advantage. Not only does this keep costs low, but it also makes the company attractive to ESG-conscious investors.
3. A Well-Timed Buy
Stock investing is all about timing. Right now, Bitcoin is in an accumulation phase. We are seeing a resurgence of interest, but we aren’t at peak mania yet. That’s the perfect time to invest in infrastructure plays like IREN—before Bitcoin’s price surge inevitably pulls up mining stocks with it.
Historically, Bitcoin miners have outperformed Bitcoin itself during bull runs. That alone made IREN an interesting play for me.
4. Competitor Landscape and Market Share
When evaluating a stock, you have to look at its competitors. IREN is not the only mining company, but it has a clear differentiator: sustainable mining. This is a key selling point as regulators crack down on energy-intensive operations.
Other companies like Marathon Digital and Riot Platforms are bigger players, but they don’t have the same commitment to renewable energy. That positions IREN well in an evolving regulatory environment. If stricter energy policies come into play, IREN is ahead of the curve while others scramble to adjust.
5. Downside Risk Was Manageable
No investment is risk-free, but IREN’s downside felt reasonable. Even in a worst-case scenario where Bitcoin struggles, the company’s infrastructure focus means they could pivot into other high-performance computing needs. Data centers are valuable beyond crypto, and that made me more comfortable with the investment.
What Could Go Wrong?
Of course, no stock is a guaranteed winner. There are always risks. Here’s what I considered before making the buy:
Bitcoin Price Volatility – If Bitcoin crashes hard, mining stocks will take a hit. That’s just reality.
Regulatory Changes – Governments are still figuring out how to regulate Bitcoin and mining. A sudden policy shift could impact the industry.
Competitive Pressure – Bigger players with deeper pockets could scale up faster.
Infrastructure Costs – Even with renewable energy, running mining operations is capital-intensive.
Despite these risks, I felt the upside was too good to ignore.
Why IREN Made Sense for Me
At the end of the day, stock investing is personal. What makes sense to one person might not work for another. But for me, IREN checked all the right boxes: a strong position in a growing industry, a unique angle with sustainable energy, and a well-timed entry point before Bitcoin’s next major cycle.
Hearing about it on My First Million sparked my interest, but it was my own research that sealed the deal. I’m not expecting overnight gains, but I see IREN as a long-term play that has the potential to outperform when Bitcoin makes its next big move.
Will it pay off? Only time will tell. But for now, I like my odds.
