Bitcoin’s Network Continues To Improve As Hash Rate Doubles

Bitcoin’s network continues to improve as the hash rate improved and doubled since June, while other metrics slowly recovered from the 2021 lows so let’s read more in our latest bitcoin news today.

China’s crackdown on BTC mining operations caused plenty of disruptions on the BTC network as the miners were forced to shut down the machines and leave teh region to continue their business. The ban on mining had its bad aftermath and with more than half of the BTC miners residing in China at that time, the BTC hash rate dropped by more than 60% to a one-year low in June but two months later with the situation changed and the hash rate increased by about 100%.

The hash rate is a critical security metric on the BTC blockchain and the increasing hash rate means greater security so the network is more resilient to attacks and vice versa. The reports showed that the miners triggered four consecutive mining negative readjustments for the first time in 10 years. The BTC protocol readjusts itself to be harder or easier every 2015 block depending on the number of miners and the computing power on the blockchain at the time of the adjustment. Another report confirmed that at the peak of the Chinese crackdown, the BTC network experienced a slow block production and the miners lost a chunk of their revenue.

During the period, about 58 new BTC blocks were mined instead of the baseline of 144 and the miners’ revenue dropped from an ATH of $70 million to $13 million in June which was about an 80% drop in one month. The mining sector started recovering from the Chinese crackdown and most miners already migrated to other regions like the US or Europe to resume their operations. They rediced china’s domiannce in teh field and made the BTC network even more decentralized. The hash rate doubled since the June low and the Data from BitInfoCharts showed that the computing power on the network returned to above 130 GH/s or marking a 100% increase from the lowest levels of 67 GH/s recorded two months ago.

Other key metrics on the bitcoin network like the mining difficulty and the miners’ revenue are recovering from their decline. The miners’ revenue per hash returned to 8.8 BTC/EH after dropping from 9.5 BTC/EH to a 2021 low of 5.6 BTC/EH. Bitcoin’s network continues strengthening despite the mining difficulty drop to a multi-year low below 14T, still being a long way down from the highest records in May.