China’s Bitcoin mining hash power drops below 50%
China’s recent ban on cryptocurrency mining activities has benefited Kazakhstan more than any other country in the world. A recent report by the Financial Times revealed that the shares of the global Bitcoin mining hash power declined by half in China for the first time in April, with Kazakhstan the biggest winner so far.The Financial Times wrote, “China’s global hashrate, the computational power required to mine new bitcoins, fell from over 75 percent to 46 percent of the global total between September 2019 and April 2021, according to data from the Cambridge Centre for Alternative Finance.”
The ban on cryptocurrency mining makes it hard to calculate electricity usage in China for mining purposes, the report added, as several mining operations now involve private deals with off-grid power stations.
Kazakhstan becomes the third leading Bitcoin mining country
Kazakhstan has become one of the leading cryptocurrency mining countries in the world, overtaking the likes of Iran, Russia and Germany along the way. The United States has the second-largest Bitcoin mining hashpower, controlling around 16.8% of the global output.In third place in Kazakhstan, with a little under 15%. In recent weeks, some cryptocurrency miners in China have started setting up operations in Kazakhstan. Canaan, popularly known for manufacturing mining hardware, diversified into cryptocurrency mining and opened its base of operation in Kazakhstan. BIT Mining is another Chinese cryptocurrency mining firm that is setting up a base in Kazakhstan, with thousands of mining hardware already shipped to the country. Kazakhstan has become a favorable destination for Chinese miners because of the cheap electricity available in the country.
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