(MENAFN- Investor Ideas)
According to data provided by BanklessTimes.com, the percentage of Bitcoins mined in the United States has increased dramatically in two years, going from 3.5% to 38%.
Speaking on the data, BanklessTimes.com CEO, Jonathan Merry, said. 'Most mining firms are looking for places with low electricity costs, and the US provides that. The states could benefit from Bitcoin mining through tax revenue and employment creation. But, they would have to make concessions due to the industry's excessive energy use and electrical waste.'
Is China Making a Comeback?
China has been the primary location for crypto mining, contributing from 65% to 75% of the total 'hash rate.' Unfortunately, the ban made China's hash rate drop to zero. Despite Beijing's ban on the practice, Bitcoin miners in China are not giving up.
Some companies relocated to neighboring countries such as Kazakhstan and US, where power costs are much lower. These firms were willing to risk running afoul of Chinese authorities because the profits gained from mining were so high.
Bitcoin Mining: A New Opportunity or Catastrophe
The US could play a significant role in making Bitcoin more decentralized, which is one of the cryptocurrency's main selling points.
However, the increasing popularity of Bitcoin mining in the US could also lead to more environmental problems. The industry is already facing criticism for its high energy consumption and electrical waste. If the trend continues, these problems are likely to get worse. Full story and statistics can be found here: US Share of Bitcoin mining has Spiked in the Past two years, from 3.5% to 38%
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