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Three Countries Control Two-Thirds of Bitcoin Mining as Ethiopia Expands

(2 hours ago) · 1 source · Summarized by CryptoBipto

According to recent data, the United States, China, and Russia collectively account for approximately 66% of global Bitcoin mining hashrate. Ethiopia has emerged as a growing competitor, increasing its share of Bitcoin mining activity as the country leverages cheap hydroelectric power.

WHY IT MATTERS

Bitcoin mining is like a global competition where computers race to solve complex math puzzles. Whoever solves the puzzle first gets to add the next batch of transactions to Bitcoin's ledger and earns a reward. This process requires a lot of electricity, so miners tend to set up where power is cheapest. When most of this mining happens in just a few countries, it means those governments could theoretically influence or disrupt the Bitcoin network, which goes against the idea that Bitcoin is supposed to be controlled by no single entity. Ethiopia's growth as a mining hub is notable because it shows how countries with abundant cheap energy, in this case from hydroelectric dams, can attract this industry and potentially make the network more geographically spread out.

Bitcoin mining, the process by which new transactions are validated and added to the blockchain, requires significant computational power and electricity.

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BTCBitcoin MiningHashrate DistributionEnergyDecentralizationEthiopia