The Crypto Rollercoaster: China’s Journey Back to Mining
After a dramatic downfall, it seems that China has hopped back onto the cryptocurrency rollercoaster, this time as a notable player in the Bitcoin mining scene. Despite the government’s strict crypto ban last year, a recent report reveals that China has clawed its way back and now boasts a hefty 21.1% of the global Bitcoin hash rate. Talk about a comeback!
The Hash Rate: A Snapshot of Mining Power
As of January 2022, China’s hash rate put it in a solid second place behind the US, which leads with a striking 37.8% of the total hash power. The CBECI data turns the spotlight on how quickly the landscape can shift; once the titan of Bitcoin mining with over 75% of hash rate back in 2019, China’s operations were practically wiped out by summer 2021. But just like a stubborn phoenix, it has risen again!
The Phoenix Effect: Post-Ban Statistics
In September 2021, just months after the bans took effect, China’s hash rate share surprisingly surged back to 22.3%. The nation evidently didn’t get the memo about the crypto ban; it’s like sneaking into a club after-hours—clearly still partying! The data indicates that even though mining might not be at the levels of yore, roughly one-fifth of global hash rate still operates within China’s borders.
Who’s Out and Who’s Still In
While China’s making its return, it seems that Russia took a tumble off the top three list of mining giants. It saw its hash rate drop from 13.6 EH/s in August to a mere 8.6 EH/s by January. Meanwhile, Kazakhstan also experienced a decline in BTC hash rate share, falling from 18% to 13.2% during the same period. Who knew mining could be such a volatile business?
Canada and the Mystery Miners
Adding to the intrigue, Canada has snagged a 6.5% share of the global mining scene alongside undetermined global locations, which seem to account for about 9%! Makes you wonder where those stealthy miners are hiding—perhaps in a basement next to that forgotten gym equipment.
Diving Down to the State Level
In the United States, the top contenders for hash rate supremacy are Georgia, Texas, and Kentucky, collectively contributing over 54% to the U.S. hash power. It’s safe to say these states are not just known for their peaches or BBQ anymore; they’re the new Bitcoin mining meccas! With New York, California, and North Carolina also in the mix, the U.S. is clearly showing off its mining prowess.
Data Driven: The CBECI Methodology
The Cambridge Bitcoin Electricity Consumption Index (CBECI) houses this treasure trove of information, collaborating with four major mining pools to provide accurate analytics. This initiative emphasizes a commitment to refining their data processes by encouraging more pools to hop on board. So, if you’re a mining pool out there feeling a bit left out, now’s your chance to shine!
“We are continually seeking ways in which to improve our data in order to increase the reliability of our estimates.” – CBECI Project Lead
In conclusion, it seems that the battle for Bitcoin’s hash rate continues to evolve, with China not ready to bow out just yet. With comps kicking off worldwide, stay tuned because this space is only going to get more thrilling.
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