ISLAMABAD: China’s Bitcoin mining share has recorded a drastic decline in the month of April amid the ongoing crackdown in the country against mining companies.
According to data of the University of Cambridge, China’s share of the Bitcoin mining industry was in steady decline even before the country’s crackdown in May 2021. After beginning of crackdown, China accounted for a 46% share of the industry in April 2021 as against 75% in September 2019.
The methodology is based on China’s share of the power of computers connected to the bitcoin hashrate. Data after April 2021 is not available so far, hence it is unclear how China’s crackdown on mining has affected mining further.
The Chinese state began taking harsher steps against the mining industry in late May, shutting operations in several regions rich in the coal and hydropower that miners been using. The main beneficiaries of the decline in Bitcoin mining appear to be the U.S. and Kazakhstan, according to the CCAF.
The U.S. share has more than quadrupled since September 2019, sitting at 16.8% as of April. Kazakhstan has become the third-largest producer of bitcoin, with a share of 8.2%.
There have been signs in recent weeks that the central Asian country is the preferred destination for mining firms migrating from China, with BIT Mining and Canaan both establishing operations there in the past month.
