The Bitcoin (BTC) hash rate is approaching its all-time high as mining resettles following the Chinese government’s recent crackdown. According to data from Blockchain.com, Bitcoin’s hash rate has risen to 172 million terahashes per second. Most of this activity is now from the US as it now plays host to a substantial number of mining endeavors.
The last time Bitcoin’s hash rate flirted with its current mark was back in May, when China was still a key contributor. However, since then, Chinese authorities have outlawed crypto activities – including mining, citing adverse environmental impacts as the primary reason. Soon enough, the crypto halt soon spread to other regions of the East Asian nation that had propelled China to the global hash rate summit.
However, the Chinese crypto ban serves nations like Canada, Iceland, and Norway, which have new facilities offering cheap labor sources. However, Bitfury, a mining company based in Amsterdam, says the increase in hash rates is due to more efficient equipment. This is as opposed to moving previously-used infrastructure from China following the ban. As the leading blockchain company put it:
“…most of the recovery is attributable to new-generation equipment coming online, not relocation of equipment from China, where much of the equipment was too inefficient to keep operating in new locations.”
Despite the recovery in hash rates, the current lack of Chinese input renders total production rate value far below its potential.
Image Credits: Pixabay
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