Arcane Research: Chinese dominance in bitcoin mining is steadily declining

The share of miners from China in the bitcoin hash decreases due to growth of computing capacity in other countries, including the USA and Kazakhstan, analysts of Arcane Research noted.

In September 2019, China accounted for 75.6% of the network hashreitude of the first cryptovoltaic currency. By April 2020, the figure had fallen to 65.1%.

During this period, the share of US miners almost doubled to 7.2%.

Rapid growth in mining capacity was demonstrated by Kazakhstan – in April 2020, the country’s hash rate was 6.2% of the total. Since September 2019, the share has more than quadrupled.

The corresponding figure for Russia has remained almost at the same level, with computing capacity for bitcoin production in Iran increasing to 3.8% of the network hashreite.

Earlier, a representative of Bitmain ASIC, commenting on the partnership with a subsidiary of Digital Currency Group, stressed that North America is rapidly becoming an „epicentre of bitcoin production“. The Chinese firm’s cooperation with Foundry is designed to make it easier for local mining companies to attract financing.

In recent months, American firms have concluded several major contracts to purchase flagship models of bitcoins. In September, Marathon Patent Group signed a long-term contract with Bitmain for the supply of 10,500 Antminer S19 Pro units. In October, the firm agreed with a Chinese manufacturer to purchase an additional 10,000 such units.

Marathon expects its hash rate to be 2.56 EH/s after completion of the deals next year. This is about 2.35% of the total at the time of writing (BitinfoCharts).

In July, Riot Blockchain received and installed 1,000 S19 Pro units, and another 1,040 units arrived in August. In the same month, the company signed new purchase contracts with Bitmain for a total of 13,100 S19 Pro meiners. In November Riot added an order for an additional 2,500 units to this number.

After installing all the ordered equipment by June 2020, the hash rate generated by Riot will theoretically exceed 2 EH/s.

Recall that in Kazakhstan in September opened one of the largest data centres for mining, capable of accommodating up to 50 thousand units. The country’s government has reached preliminary agreements to attract more than $700 to the industry.

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