The United States has become the world's largest market for Bitcoin mining, according to new data from Cambridge University.
The United States now holds a share of 35.4% of the market, following a mass exodus of miners from China after the Chinese government banned mining earlier this year.
Kazakhstan and Russia follow the United States, with shares of 18.1% and 11% respectively.
"The immediate effect of the government-mandated ban on crypto mining in China was a 38% drop in global network hash rate in June 2021 - which corresponds roughly to China's share of hash rate before the clampdown, suggesting that Chinese miners ceased operations simultaneously," Michel Rauchs, digital assets lead at the Cambridge Centre for Alternative Finance said.Evolution of the Bitcoin network's hash rate. Image: Cambridge University How China impacted the Bitcoin mining scene
China has long held a ban on cryptocurrency trading, but earlier this year, the government also imposed a ban on crypto mining.
That ban—and resulting exodus of miners—gave an opportunity to other jurisdictions to join the industry more heavily than before.
In April, 2021, the United States only had 16.8% of the global hashrate share, meaning the American market share has increased by 105%. Similarly, Kazakhstan and Russia have increased their shares by 120% and 61%, respectively.
What’s more, the initial 38% drop in global hashrate in June was “partially offset” by a bounceback of 20% across the months of July and August. This suggests, according to Rauchs, that Chinese mining equipment has successfully been redeployed overseas.
Beyond the three new mining superpowers, Canada (9.55%), Ireland (4.68%), Malaysia (4.59%), Germany (4.48%), and Iran (3.11%) rep...