The BTC mining comeback in China, according to CCAF, is due to a considerable amount of underground mining activity using off-grid electricity and scattered small-scale operations.
BTC mining is accepted in china due to…
China has emerged as a key mining hub, according to new Bitcoin (BTC) mining data from the Cambridge Centre for Alternative Finance (CCAF).
This revival comes after the country prohibited BTC mining last year, citing BTC’s energy-intensive Proof-of-Work (PoW) consensus process.
According to CCAF, China’s hashrate dropped to zero in July and August 2021 after the country banned BTC mining.
China’s hashrate grew to 30.47 EH/s in September, according to data from September 2021 to January 22.
China is now the second-largest Bitcoin miner, accounting for 22.29 percent of the worldwide hashrate.
This data, however, is based on a study approach that uses aggregate geolocation from big BTC mining pools, which pool computing power to efficiently mint new currencies.
Individual Bitcoin miners who utilize virtual private networks (VPNs) to conceal their location further hide this information. Nonetheless, the researchers claimed that using VPNs would have a minor impact on the analysis’ accuracy.
Who stands first?
The United States continues to be the most popular Bitcoin mining location.
Companies in the field halted operations once China banned BTC mining, and an exodus to neighboring jurisdictions with friendlier legislation and cheaper power began.
The United States immediately established itself as the major BTC mining hub, eager to welcome these businesses.
According to CCAF data, the United States now generates 37.84 percent of the hashrate on the BTC network, up from 35.40 percent in September 2021.
Canada’s market share decreased from 9.55 percent in August 2021 to 6.48 percent in January 2022. Russia’s market share fell from 11.23 percent to 4.66 percent in the same time period.
Kazakhstan also took in a significant number of mining businesses that had fled China.
In October, the country’s hashrate peaked at 27.31 EH/s. Mining was hindered by frequent power interruptions and a crackdown on unregistered BTC miners. As a result, Kazakhstan’s hashrate dropped to 24.79 EH/s, lowering the country’s market share to 13.22%.
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Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2022/05/19/bitcoin-mining-make-a-comeback-in-china-after-getting-will-smithed-by-reality/