China Makes a Comeback in Bitcoin Mining Despite Government Ban

You can get the latest news by following us on social media and signing up for our new newsletter.

Despite a government ban on the activity last year, China has re emerged as the second-largest locale for mining.

The Cambridge Centre for Alternative Finance said in a report on Tuesday that the US accounted for 37.84% of global hashrate between September and January. After falling last year, the hashrate has made a strong comeback to new highs.

The price of the digital currency swings but its power use is limited.

The country has seen a sudden surge in activity through covert mining operations and has become a major mining hub.

Significant underground mining activity has formed in the country, which confirms what industry insiders have been assuming, according to the report. Beijing intensified its efforts to curb the market. It seems covert mining is still happening in China through routed through virtual private networks that make it appear the computers are in another country.

While covert mining operations may be a cause of this resurgence, the methodology used by the CCAF is prone to errors as many miners hide their identity using proxy services.

Canada took 6.48% of global hashrate, and Russia accounted for 4.66%.