- China's Involvement in Bitcoin Mining
- Geographic Distribution of Hashrate
- Changes in China's Crypto Policy
CryptoQuant founder Ki Young Ju recently sparked debates in the crypto community by claiming that China controls 55% of the Bitcoin network hashrate. However, this statistic misses important points about miner distribution.
China's Involvement in Bitcoin Mining
Mining pools such as Antpool, F2pool, MARA Pool, and Foundry have management teams or headquarters in specific countries. However, the miners contributing hashrate to the pool are geographically distributed worldwide. This means Chinese mining pools include miners from countries like the United States.
Geographic Distribution of Hashrate
According to a recent analysis from TheMinerMag, two US-based mining pools — MARA Pool and the USA Foundry Pool — mined 33.6% of all blocks in August 2024. The hashrate from these pools doesn't reflect US-based miners that joined a mining pool operating in another country. Click here to see the market share of Bitcoin mining pools.
Changes in China's Crypto Policy
China passed a blanket ban on cryptocurrency activities in 2021. But in July 2024, rumors began circulating that mainland China would unban Bitcoin, which divided the crypto community. In January 2024, the Chinese government announced a new anti-money laundering framework to take effect in 2025 that includes provisions to combat money laundering through digital assets. More recently, China's Legislative Affairs Commission considered revising a previous ruling from China's Supreme People's Court to establish methods of monitoring new financial technology for money laundering purposes.
Current claims about China's dominance in Bitcoin network hashrate require deeper analysis, considering the global distribution of miners and the political changes within the country. Future regulations and involvement in the crypto economy remain important topics for discussion.
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