Why the ‘great China Bitcoin mining crackdown’ fell short of early claims
Data suggests the recent alleged Bitcoin mining crackdown in China's Xinjiang region caused a much smaller network hashrate drop than initially reported.Summary
Recent reports of a major Bitcoin mining crackdown in China's Xinjiang region led to initial concerns, but data from TheMinerMag indicates the actual impact was significantly less severe than early claims suggested. The Bitcoin network experienced a brief hashrate decline, roughly 20 exahashes per second (EH/s), which was also partially linked to U.S. power curtailments, rather than the 100 EH/s loss cited initially. Major mining pools recovered quickly, suggesting a temporary disruption rather than a sustained shutdown. Furthermore, while Chinese-origin pools saw declines around 100 EH/s, attributing the entire network drop solely to Xinjiang was deemed an overstatement. The initial reports stemmed from claims that 400,000 to 500,000 machines went offline. Despite China's 2021 nationwide ban, the country is estimated to still account for 15% to 20% of global Bitcoin mining, with Xinjiang being a key hub due to its low-cost energy and data center infrastructure.
(Source：Cointelegraph)