In 2024, the United States finally became the dominant force in Bitcoin mining, controlling over 40% of the global hashrate. This shift highlights the U.S.’s dominance in the “digital gold” rush. Despite this, Chinese mining pools still significantly influence, even with ongoing restrictions.
U.S. Mining Pools Lead the Charge
The U.S. leads Bitcoin mining through Foundry USA and Marathon Holdings (MARA), which mined over 38.5% of all Bitcoin blocks together. Foundry USA, the largest pool globally, grew from 157 exahashes per second (EH/s) to 280 EH/s by December. The company controls nearly 36.5% of the network’s hashrate.
MARA Pool, on the other hand, contributes 4.35% with 32 EH/s. These two pools have firmly placed the U.S. in the driver’s seat of the Bitcoin mining industry. Meanwhile, U.S. lawmakers and private firms seek to tap into its potential.
Texas lawmakers are considering launching a Strategic Bitcoin Reserve to secure the state’s future in digital finance. This initiative aims to strengthen the U.S.’s role in global Bitcoin mining. The U.S. achieved dominance despite the difficulty of Bitcoin mining reaching an all-time high (ATH) last year.
China’s Persistent Grip on Global Mining Power
Despite the U.S.’s rise, China remains a strong force in the Bitcoin mining sector. As of September 2024, Chinese mining pools still commanded a staggering 55% of the global hashrate, despite its 2021 crackdown on crypto mining.
The ban, meant to curb the country’s grip on crypto, has not slowed down the Chinese mining operations. Instead, miners used VPNs and peer-to-peer apps to continue mining under the radar, bypassing the restriction.
This makes it hard to track the true distribution of mining power, as Bitcoin mining is a global operation. Meanwhile, the concentration of mining power in a few large pools has raised concerns about Bitcoin’s decentralization.
As big companies dominate due to the high costs, smaller miners are being pushed out. Many fear this could lead to national security risks if one country controls too much of the network.
A Shift in Strategy: The U.S. and Bitcoin Mining Hardware
Amid rising geopolitical tensions, mining hardware companies are shifting strategies. Bitmain, which controls 90% of the global market, plans to expand its production operations to the U.S. to reduce dependence on China.
This expansion comes in response to increasing trade tensions between China and the U.S. Likewise, Jack Dorsey’s Block plans to increase investments in Bitcoin mining and its self-custody wallet, redirecting resources from other projects.
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