US Leads World Bitcoin Mining, Following China Mining Crackdown
The U.S. took the lead in Bitcoin mining following the Bitcoin mining crackdown in China, according to the latest update from the Cambridge Bitcoin Electricity Consumption Index (CBECI) at the Cambridge Centre for Alternative Finance (CCAF).
The U.S. is followed by Kazakhstan and the Russian Federation.
This new data, to the end of August 2021, shows the U.S. with a global hashrate — the collective computing power of miners — share of 35.4%, up from 16.8% at the end of April. Kazakhstan has an 18.1% share, up from 8.2%; and the Russian Federation has an 11% share, up from 6.8%, according to researchers at the University of Cambridge.
The immediate effect of the government-mandated ban on crypto mining in China was a 38% drop in global network hashrate in June 2021 – which corresponds roughly to China’s share of hashrate before the clampdown, suggesting that Chinese miners ceased operations simultaneously,” Michel Rauchs, digital assets lead at the CCAF, writes in an article on the University’s website.
“New data reported by partnering mining pools BTC.com, Poolin, ViaBTC and Foundry confirms this observation: declared mining operations in mainland China have effectively dropped to zero, from a high of 75.53% of the world’s total Bitcoin mining in September 2019 when this data was first recorded.
Rauchs adds that if the August data updates are an indication for the future, then that recovery will likely be further distributed predominantly between the largest share gainers – the U.S., Kazakhstan and the Russian Federation.
Outside of the top three, the next largest hashrate shares are Canada (9.55%), Ireland (4.68%), Malaysia (4.59%), Germany (4.48%), Iran (3.11%) and Norway (0.58%), he says.
As GOBankingRates reported yesterday, most of America’s Bitcoin miners are based in New York, Kentucky, Georgia and Texas, according to new data. According to Foundry USA, 19.9% of bitcoin’s U.S. hashrate is in New York. Meanwhile, 18.7% is in Kentucky, 17.3% is in Georgia and 14% is in Texas.
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