- By the time Bitcoin is 13 years old since the genesis block was removed, its hash rate has reached a new ATH of 207.53 EH / s.
- The hash rate has steadily increased since the Chinese cryptocurrency ban and so there is institutional acceptance.
13 years ago, or January 3, 2009, the anonymous Bitcoin creator, Satoshi Nakamoto, made the network genesis block (zero block), for a reward of 50 Bitcoin (BTC). In a kind of celebration, the network reached a historic hash rate of 207.53 exahashes per second (EH / s) on the first day of this new year.
Bitcoin hash rate is a direct indication of the strength of the network based on the number of active miners. It shows an increase in the difficulty of mining and a consequent increase in the security of the blockchain. After suffering a six-month rally, the indicator has reached its highest point, according to data from YCharts.com.
A look at Bitcoin mining operations
In September, there was a significant decline following China ‘s total ban on cryptocurrency mining and trading activities. Since the country controlled the Bitcoin hash rate, the fall in its miners caused the hash rate to drop to 58.46 EH / s.
Soon after, these miners migrated to more friendly mining areas, such as North America and Kazakhstan. The first, for example, saw its double hash rate by the end of April and August 2021. A report in October 2021 from the University of Cambridge showed that the United States is now ahead of the Bitcoin hash rate.
In addition, the Bitcoin Mining Council reported that mining operations are greener, with total energy consumption of 0.12% of global energy production. El Salvador is one of the nations that showcases the greenest mining operations with its geothermal energy facilities.
More information: Bitcoin mining consumes 0.12% of the world’s energy, and operations are getting greener: Bitcoin Mining Advice
At the time of this writing, Bitcoin’s hash rate was 190.64 EH / s, down 8.14% on the last day, according to YCharts. The change, however, represents a year-on-year increase of 33.08 percent.
Greater institutional acceptance of BTC
Another measure of increased demand and uptake of digital assets is the upward trend in institutional interest. MicroStrategy was one of the most prominent Bitcoin holders and immersive buyers of the year. Its BTC acquisition acquisition streak was an inspiration for other companies to be exposed to the crypto asset. Subsequently, BTC holdings in these corporations have increased significantly, as chain analysts have reported Willy Woo on January 2, 2022:
Since the MicroStrategy “Bitcoin for Corporations” conference in February 2021, public companies * with significant amounts of BTC have gained market share from spot-ETFs ** as a way to gain BTC exposure in public securities markets.
* Microtechnology and public mining companies
** Mostly grayscale.
MicroStrategy bought 1,914 BTC in December, worth $ 94 million at the time. What’s more, the company’s stash of Bitcoin acquired in 2021 totaled $ 6 billion in total.
However, the value of BTC has not yet started trading above its $ 50K resistance point. At press time, the asset was trading at $ 47,344, up 0.2% for the day.