North America, specifically the United States and Canada, is increasingly becoming a hub for Bitcoin (BTC) mining due to relative regulatory stability compared to China.
Previously, and even currently, most of the Bitcoin (BTC) mining hash rate in the world is concentrated in China. However, there have been repeated threats to the Bitcoin (BTC) mining industry in China, with the government almost banning the sector this year only to backpedal at the last moment. Regardless, the government in China has the power to ban Bitcoin (BTC) mining at any time and for any reason, in the same way China banned fiat to crypto trading.
This situation can be compared to the old days of gold mining, in the sense that people from the Old World, i.e. Europe, came to America to seek out plentiful resources and obtain freedom from government interference. The United States and Canada may be more regulated than the pioneering days, but the government has recognized the people’s right to mine and use cryptocurrency.
Just like the pioneering days, in terms of electricity there are still plentiful resources in some parts of North America. Indeed, where electricity generation is more than the local grid can handle, electricity that would otherwise be wasted is purchased by Bitcoin (BTC) miners at a low price, benefiting both the Bitcoin (BTC) miners and the electricity manufacturers.
Some examples include excess solar power in California, surplus hydroelectric and wind power in New York, and excess hydroelectric power in British Columbia and Quebec Canada. There are many more examples than this, indeed excess power is found around hydroelectric plants and nuclear power plants across the continent.
The proof that North America is becoming a hub for Bitcoin (BTC) mining is that BitOoda, a company which advises Bitcoin (BTC) mining companies and investors, has seen explosive growth in inquiries about starting mining operations in North America in 2019.
Therefore, long term perhaps the balance of power in the Bitcoin (BTC) mining world will shift from China to the United States and Canada, especially if China acts against Bitcoin (BTC) mining.
Previously, and even currently, most […]