The Bitcoin (BTC) hashrate is back in full swing with a new record set by the network at 203.5 exahashes per second (EH/s), the metric used to gauge the blockchain’s overall stability and speed.
The data is based on a survey by Bitinfocharts on January 2 and sends a clear signal that BTC is past its over reliance on mining operations based in China.
BTC’s hashrate was negatively impacted by China’s decision to suspend all crypto transactions and mining in the country. This reflects on the country’s aggressive stance against private currencies.
The hashrate is important because it tells consumers how much computational power is used to transact, verify and mine BTC, effectively serving as a safeguard against fraud.
Since the network is powered by so many different computers of peers, it would be impossible for a single party to assume control over the network – that is unless the hashrate dropped too low.
BTC’s hashrate had dropped to 136.5 EH/s at the beginning of January, but it is now back and looking healthy. In comparison, the ban in China sent the hashrate to historic lows, of 68 EH/s.
The US and Kazakhstan have proven two destinations where crypto miners have found refuge. Kazakhstan’s seductively cheap electricity prices have made it so that miners keep pouring resources in the country. The US, on the other hand, is still associated with innovation and opportunity despite the fraught context of crypto regulation.
As the hashrate recovers, and even beats records, the mining difficulty is projected to increase by 2.57% this week. This means that as more people tune to mine BTC, the harder it becomes to succeed.