What happened now? For the first time, the United States overtook China to become the world leader in cryptocurrency mining. It followed months of suppression of the cryptocurrency by the Asian country, which led miners and mining companies to move to more favorable locations.
Despite the Chinese government’s apparent dislike of cryptocurrency, the country has long been responsible for much of the world’s bitcoin hash rate – in part due to cheaper electricity – which accounted for 75% in September 2019. in the industry than ever before: massive stock suppression back in May led to mining companies closing their businesses; authorities started to close more businesses in June; and China recently declared all cryptocurrency transactions illegal.
According to data published Cambridge Center for Alternative Finance, the new repression led to a 60% drop in China’s share in just a few months. It is now zero.
Image Credit: Cambridge Center for Alternative Finance
The loss of China is the gain of other countries. The US share of global hashing of BTC jumped from 17% in April to the world’s leading share of 35.4% in July. Kazakhstan, ranked second, dropped from 8% to 18%, while Russia, ranked third, is 11% after it was 6.8% three months ago. Canada ranks fourth with a share of 9.6%, while in April it was only 3%.
“The whole story of China controlling bitcoin is now completely destroyed,” said Boaz Sobrado, a London-based financial technology analyst. CNBC…
The migration of crypto miners from China has led to an increase in electricity demand for host countries. A single Bitcoin transaction, including the resources required to mine the coin and verify the transaction, can be over 1,700 kilowatt hours (kWh). One mining company bought a Pennsylvania power plant that produces enough power for 1,800 bitcoin miners, with plans to increase production by 2022 to support more than 20,000 miners.
In other crypto news, Intel confirmed this week that its first series of Arc graphics cards, the Alchemist, will not feature an Nvidia LHR-style mining limiter. We’ve also heard that the new software is able to bypass the Team Green limiter by dual mining cryptocurrency.
The growing interest in mining and the rising cost of coins are affecting the prices and availability of graphics cards, although it is rumored that Nvidia is still releasing more products in January, which seems odd given that people cannot even find or afford its current offerings. But Ethereum’s move from a proof of work (PoW) model to a proof of stake (PoS) model is expected to help improve the situation.
Image Credit: TimeShops