China Re-Emerges as One of Biggest Bitcoin Miners
It’s been an entire year since the Chinese Government launched its crackdown against the mining operations in the country. Compared to all the cryptocurrencies, it was Bitcoin that was on the hit list of the Chinese regulators.
From there, a game of hiding and seek has been played between the Chinese regulators and the mining companies in the country. After the constant pressurizing and crackdowns, the Chinese regulators succeeded in pushing cryptocurrency mining centers out of the country.
Given the aggression, the Chinese regulators had shown against the mining companies, it was presumed China was free of mining centers.
The Global Impact of Chinese Mining Centers’ Exile
As the Chinese regulators showed no mercy and the mining companies started to leave, the price of Bitcoin (BTC) started plunging. It was May of 2021 when the Chinese authorities started working against the Bitcoin mining centers.
The crackdown was carried out until the end of December 2021. By then, the trading volume of Bitcoin had been trimmed tremendously. Since then, Bitcoin hasn’t been able to recover and hasn’t hit a single all-time high in the running year.
At the moment, Bitcoin’s price is $30,018.61, which is 56.36% less than the all-time high of $68,789.53, Bitcoin had hit on November 10, 2021.
A Surprising News for the Bitcoin Investors
Although it was strongly presumed that Bitcoin mining was completely out of China, the reality comes as a surprise for the entire cryptocurrency industry.
It has been confirmed that China is still one of the largest mining hubs for Bitcoin. According to the latest mining report, China has made it to the second spot being the largest mining country in China.
It comes as an extremely alarming revelation for the Chinese Government but as wonderful news for the entire cryptocurrency industry. Despite the all-out banning of cryptocurrencies from China, the mining firms have still continued mining cryptocurrencies.
The report surrounding the mining operations from China has been shared by CBECI, which is the index for the measurement of Bitcoin electricity consumption.
The report shared by CBECI on Tuesday has confirmed that China is the second-largest Bitcoin mining country. The report confirms that 21.1% of the total Bitcoin mining is carried out in China. After China lost its place as the largest mining country, it was the United States that earned the top spot.
The Bitcoin mining power of the United States is 37.8%, which is calculated from a country’s ability to generate a hash rate while mining Bitcoin.
Bitcoin Price May Surge with China Onboard
Following the announcement, Bitcoin’s price has surged by 1.48%. It seems that one of the major factors pulling Bitcoin’s price was the banning of cryptocurrencies in China, which has been dissolved. The news will definitely play a huge role in helping Bitcoin’s price grow stronger.
