The United States has surpassed China to account for the most significant percentage of the world’s bitcoin mining, according to a report by Reuters on Wednesday.
- The data showed the effect of a crackdown on bitcoin mining and trading initiated by China’s State Council, which hampered the industry and pushed miners to close shop or move abroad.
- China’s percentage of the power of consumers linked to the global bitcoin network, referred to as the “hash rate,” had declined to zero by July from 44% in May and nearly 75% in 2019.
- Miners in other regions have taken up the slack, with mining rig manufacturers moving to North America and Central Asia and larger Chinese miners shifting as well, despite logistical challenges.
- Currently, the United States accounts for the largest proportion of mining, nearly 35.4% of the global rate as of the close of August, followed by Kazakhstan and Russia.
Bitcoin is mined using high-powered computers that compete in solving complex mathematical puzzles in a process, which requires intensive use of electricity. BTCUSD down -0.14%