Bitcoin hash rate hits 8-month low as Chinese miners shut down

Bitcoin’s hash rate dropped to its lowest level since ancient November when mining started to pull on the plug in China.

Bitcoin’s system hash rate, a measure of its computing power, has dropped 46 percent since it peaked in mid-May. According to Bitinfocharts, Bitcoin’s hash rate is now 91.2 EH / s (trillion). 171.4 EH / s less than six months ago.

Bitinfocharts has also reported a decrease in mining earnings from a high of $ 0.449 daily and terahash per second to the present level of $ 0.226 at exactly the exact same year.

The BTC hash rate has not been in this low level for 2 months and continue rose below 90 EH / s on November 3, 2020. A higher hash rate means more competition among miners to validate new cubes, and additionally, it increases the resources necessary to execute 51% strikes, making the system more secure.

The fall in hash rate and mining sustainability is because of continuing crackdown by Chinese government against Bitcoin mining centers throughout the country. Over the weekend, photos were shared on social websites of large mines in China’s Sichuan Province which were closing.

Tonight we will witness a history of Bitcoin mining, all mining farms (electric load approx. pic.twitter.com/xRfqMCgWY1

– Molly (@bigmagicdao) June 19, 2021

On June 18, the municipal authorities of Ya’an – a provincial city in the western portion of Sichuan – ordered the closure of local Bitcoin mining operations. In overdue 2019, CoinShares estimated that Sichuan was home to over half of the international hash rate and brought miners using its cheap and abundant seasonal hydropower.

On June 12, the Yunnan Provincial Government also issued a note ordering an investigation into the alleged illegal use of electric energy by people and companies involved Bitcoin mining.

According into a CNBC report published on June 15, Castle Island Ventures spouse Nic Carter, who discovered Bitcoin’s hash rate moving down, theorized,”It looks like configurations online will be disabled. ” throughout the country. In early May, Cointelegraph reported that there were signs that the Bitcoin hash rate was starting to leave China.

Carter predicts that at least half of Bitcoin’s total hashrate will leave China over time.

North America, especially the state of Texas, has become one of the top destinations for the so-called “great mining exodus” due to favorable laws and an abundance of cheap renewable energy.