Over the past two years, Bitcoin mining has undergone some important changes that have had a significant impact on its geography. The U.S. share of the global Bitcoin mining market has reached over 35%, an increase of eight times over the past two years.
Interestingly, the Bitcoin mining industry in China once accounted for 75.5% of all computer energy consumed for this purpose in September 2019. However, the situation changed radically after the country took tough measures against cryptocurrencies and banned their mining. So in the summer of 2021, China's participation in mining fell to 0%, according to the Cambridge Center for Alternative Finance, via Finbold.
In parallel with this, Bitcoin miners using IP addresses in the U.S. began to be active. In September 2019, the U.S. used just 4.1% of total computing energy, known as "hashrate" (or hash rate), and in the summer of 2021 became the largest consumer of Bitcoin energy, accounting for over a third of total consumption at 35.4%, more than eight times the amount two years earlier.
Meanwhile, Kazakhstan began to take an active part in Bitcoin mining. From 1.4% in 2019, the country increased its hash rate to 18.1% as of August 2021–more than twelve times the amount two years prior. However, recent instability and protests in Kazakhstan have resulted in widespread internet outages affecting Bitcoin mining and could have an impact on the current price of the cryptocurrency.
© 2022, Eva Fox | Tesmanian. All rights reserved.
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About the Author
Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.