The Bitcoin Hashrate has been hitting new ATHs recently. Where is all this hashing power generated? Some data and satisfying maps for you

You've heard about Bitcoin, right? Those virtual coins need to come from somewhere, and that somewhere often involves some seriously mind blowing hash power.

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Jokes aside, there are some interesting maps and graphs we can draw based on the generated hash power data around the world. In this post I'll be using data from Chainbulletin (Sept 30th 2023).

To start off, let's look at the global distribution of the Bitcoin hashing power.

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Global hashing power

What stands out is that China still accounts for about 20% of the total hashing power, despite their hostile stance towards Bitcoin and Bitcoin mining. One of the worlds major Bitcoin mining pool hotspots is even located in Hong Kong, representing the OKExPool.

Secondly, even though the regulatory framework is unclear, the US has become increasingly active in the Bitcoin mining industry. Companies seem to have found their way in the US, and combined, they account for almost 40% (!) of the global hashing power for Bitcoin (154.92 EH/s). Pretty mindblowing. Let's zoom in.

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Major mining activity in the US

As shown above, major mining activity takes place in California, Washington (state), and New England. However, most hashing power is generated in Texas. Data from the world's largest mining pool, Foundry, shows that Texas is the number one US state for mining Bitcoin. Almost 28.5% of the country's hash rate is produced in this area. Mainly due to low electricity costs.

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Biggest mining pools (top 5)

The top 5 mining pools have recently grown considerably. Given the fact that the price of Bitcoin has been hovering around $27.000, and with energy prices (and mining difficulty) being relatively high, this is surprising to say the least. Estimations about the costs to mine 1 Bitcoin currently vary a bit, and of course it heavily depends on local energy prices. However, the global average is believed to be around $10.000 - $ 15.000 per Bitcoin to profitably mine a block. After the halving, the costs could rise as high as $30.000 - $40.000 per Bitcoin, with energy prices staying the same.

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1 year change in Hashrate

It's anyone's guess what the price action of Bitcoin, energy or other crypto's will do. However, one thing is for sure. The Bitcoin halving will come in April 2024. We are ready for it.

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Edit: Kazakhstan hosts a lot of Chinese miners who set up shop just across the border. Anyone with more info on that, please add in the comments