When it comes to the recent crypto crash that the market has intercepted in the past couple of weeks over the feud of the Chinese government with the crypto miners and traders going on their homeland has heavily affected the mining operation of the Bitcoin. Hashrate corresponds to the speed of the blockchain network at which the proofing of the transactions is taking place. It needs to be above a certain exahashes per second for Bitcoin’s blockchain to be efficient and running smoothly without any trouble. But in the recent crash, the hash rate of Bitcoin has plummeted all the way to 157 exahashes per minute from the 124 exahashes.
Mining Facilities in China are Looking Forward to Relocating
Many Chinese miners have been stopped from continuing Bitcoin mining and BTC. A mining pool that accounts for about 1.7% of the total Bitcoin’s hash rate says that they will be terminating their services in China over the regulatory risks and moving somewhere else. China was a near and dear to heart option for many miners because of the cheap electricity and state-of-the-art mining material or the computing elements made available there because these are developed there. But people are relocating their mining business elsewhere as China seems adamant over their crackdown against the miners and is not willing to let either Bitcoin mining or trading slide.
This series of events that are taking place are also bound to Elon Musk, the billionaire businessman and CEO of Tesla and SpaceX, as he went on Twitter and wanted to spill beans all over Bitcoin over its mining situation, which puts a lot of stress over the environment. Due to which the whole crypto crash initiated, and the rest is history. Amid all of this, the miners are relocating their mining facilities elsewhere, and the US, along with Europe, seems to be the likely option.
Something similar took place in 2017 when China took a hard stance regarding crypto mining, and the mining facilities were relocated. Following in on just that, the overall hash rate of Bitcoin is getting back to normal, and there will be no further changes, hopefully. The few notable ones involve US and European mining pools being ranked higher than the Chinese pools, and that is about it.