Much has changed for Bitcoin in the 11 years since it was first written down in Satoshi’s iconic white paper with the network hashrate recently reaching new all-time highs despite all efforts to declare Bitcoin dead. With a current hashrate in the range of 91 million TH/s, it’s clear that there is a whole lot of money and effort being put into securing the network and trying to discover the newest block and receive the BTC reward.
So much money in fact, that it now appears as though governments may eventually become the dominant figures in the space as the world switches over to a blockchain-based digital financial ecosystem.
As was recently reported by Cointelegraph, A Bitcoin mining company owned by Russia’s internet ombudsman is planning to open a new facility and corner 20% of the international market.
While Vladimir Putin and the Russian government didn’t come out directly and say that they are heavily investing in Bitcoin mining, moves being made by connected entities make it clear that the interest and intentions are there.
But not every leader is operating in such a coy fashion.
China’s leader, Xi Jinping, recently gave the go-ahead for the 1.4 billion Chinese citizens to fully embrace blockchain technology and the significant role it will play in the future. According to Xi, blockchain will serve “an important role in the next round of technological innovation and industrial transformation.”
Within a week of Xi making his pro-blockchain statements, the China National Development and Reform Commission scrapped plans that it had to categorize bitcoin mining as an industry to be phased out from the country.
In the new Catalog for Guiding Industry Restructuring, which will replace the current one published in 2011, the agency has removed bitcoin mining or other virtual currency mining activities from the initially proposed category of industries that should be eliminated from China.
While no current description for related to virtual currency or bitcoin mining can currently be found in the finalized catalog, it’s likely that this isn’t the last work the Chinese government will have to say on the matter.
If you jump across the pacific ocean to the U.S., despite less than positive words regarding Bitcoin and cryptocurrencies from president Donald Trump, the ground was recently broke on the planned site of “the world’s largest Bitcoin mining facility,” in Rockdale, Texas.
And that is just one of the major mining projects in the area trying to get in on the game. The Chinese-based crypto mining giant Bitmain announced that it has launched work on its 50-megawatt data mining facility in Rockdale, which could be expanded to a capacity of more than 300-megawatts.
This development comes on the heels of the company releasing its latest miners, the Antminer S17+, which has a hash rate of 73 TH/s and operates with a power efficiency of 40 J/TH + 10%, and the T17+, which offers a hash rate of 64 TH/s and a power efficiency of 50 J/TH + 10%.
With each new release happening in a shorter period of time and producing technology that is far superior to the previous generation, bitcoin mining is rapidly becoming a realm meant for deep pockets and the ability to develop new technology.
It’s possible that in the near future Governments and large global corporations will be the only ones capable of having a large presence in the Bitcoin mining arena. But this is not necessarily a bad thing.
With competition focused on the shared goal of securing the Bitcoin network, a new era of global cooperation and financial connectedness is on the Horizon.
Having accomplished so much in just 10 short years, it’s exciting to imagine what Bitcoin has yet to achieve in the decades ahead.