Bitcoin hash rate plunges amid Chinese authorities’ decisions

The hash rate of Bitcoin’s network fell below 110 EH/s after Sichuan authorities shut down key miners.

Journalist Colin Wu published a video showing equipment being shut down. The video, he said, went viral among Chinese miners.

Many Chinese miners are reposting this video, and some of them are crying. The 24-hour average hashrate has fallen below 110E. https://t.co/3B30CljIac pic.twitter.com/4DcrZ4jBK0

— Wu Blockchain (@WuBlockchain) June 19, 2021

Late on June 20, the interval between mined blocks stretched to almost two hours, instead of the algorithm’s approximately 10 minutes, a reporter noted.

After most big mining farms were shut down in Sichuan, the Bitcoin network once again had a block time of more than 1 hour last night. On June 12, there was a block production time of nearly 2 hours. pic.twitter.com/KOLCp6z5gb

— Wu Blockchain (@WuBlockchain) June 20, 2021

The journalist also noted that BitDeer, the cloud-mining platform owned by former Bitmain co-founder Jihan Wu, has no facilities in China, and in recent months opened several farms in the United States, Northern Europe, and South Asia.

Another interesting fact is that Bitdeer, led by Jihan Wu, does not own any mines in China. He foresaw the blow and set up multiple mines in the United States, Northern Europe, and South Asia. He even warned miners not to underestimate the government’s carbon neutral in April.

— Wu Blockchain (@WuBlockchain) June 19, 2021

According to the journalist, the former CEO of Bitmain warned miners as early as April about a possible crackdown by Chinese authorities on the industry due to its carbon footprint.

Earlier reports said Sichuan authorities would allow miners to operate until September.

In the provinces Inner Mongolia and Xinjiang, officials introduced restrictive measures against mining, and in Qinghai authorities completely banned cryptocurrency mining activities.

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