Bitcoin miners play a crucial role in the crypto market and the Bitcoin economy. Without them, transactions would slow down, and sending coins would become next to impossible. When China banned Bitcoin, miners in the country faced enormous challenges. Nevertheless, it seems that the mining hashrate has recovered.
The Amount of Computing Power Reached All-Time High
The amount of computing power used to mint new bitcoins has reached an all-time high as miners moved their operations outside China.
At the moment, the hashrate stands at about 172m terahash per second, the highest since May. This increase shows that miners use more computer power to mine the coin.
The US is now home to most miners, but Canada, Iceland, and Norway are also an option since these countries offer affordable energy sources.
Regardless, many believe that China’s Bitcoin ban has a lasting impact. Without the ban, the production rate would be even higher. According to Bitfury, one of the largest mining companies, current hashrates are still below what they would be if China kept its miners.
Some estimates show that hash rates are likely to finish December between 180m to 190m terahash per second.
The latest hashrate recovery is also mainly attributed to new-generation equipment.
Marathon Digital, a US-listed miner, also predicts record mining levels by middle 2022, as a newly-built renewable energy site in Texas opens for more miners.