Bitcoin Hashrate Dominance of China Dives, North America May Be the Next Lead
As revealed in the newly published regional report, the Bitcoin hashrate of China has likely dropped to as low as 55% while that of the US has surged to 11%. Moreover, a recent study has released predictions that it is a possibility that North America could overtake China in terms of hash rate by the end of this year.
Bitcoin Hashrate of China Declining, North America may Take the Lead
It can not be denied that China has managed to be the most dominant region in terms of bitcoin mining for years provided the fact that at one point in time, 65-70% of the network hash rate stemmed from the country.
In May 2021, the Bitcoin hash rate was notably higher nearing the 200 exahash per second as a great metric for the participants mining Bitcoin.
At present, the international hash rate of Bitcoin is near 181 EH/s following the massive decline in hash power just two weeks ago.
As seen in a few reports published recently, it has been seen that the SHA256 hash rate dominance of China is gradually declining and the United States and North America, in particular, have become greater competitors.
Iyke Aru, the regional columnist of 8btc explains that one of the reasons behind the dropping of the hash rate is the energy commitments of China.
Government Strategies and Effects on Miners
The communist government of China is targeting to reduce carbon emissions in the next few years and a recent proposal was invoked to shut down the bitcoin miners that are located in the autonomous region of Inner Mongolia.
Other regions such as Sichuan are also tightening up energy requirements which are placing even more demand on the hydropower facilities of the region.
In accordance with a study published by Sam Ling at the end of the month of January 2021, the hash rate dominance of China has reduced significantly this year.
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