Blockchain has the broadest prospects for application in various industries, but bitcoin has caused the most noise around it. Despite the development of competitors, as well as the reminder of specialists that blockchain as a technology is several times more valuable than cryptocurrencies, bitcoin is still one of the most discussed things in the world.
To a large extent, this is due to the fact that you can earn on bitcoin. The development and sale of mining farms has become a separate area with its leaders and nuances. Despite the principle of decentralization, it is believed that most of bitcoin is now mined by 10-15 giant companies. In fact, this indicates some centralization. Such companies are not distributed and are located in several countries, so there are leading countries for mining bitcoins..
To mine bitcoins in the geographic region where mining is conducted, the following conditions must be met:
1. The cost of electricity. The lower the ratio of the costs of producing one coin, the more people and companies are interested in cryptocurrency mining.
2. Low average annual temperature. Ambient temperature directly affects the operation of the mining farm. The colder the air, the better it absorbs the energy released by the farm, and thus increases the maximum allowable power.
3. Reliable internet. Stable and fast communication with the global network is the main technical requirement for mining.
4. Significant energy potential of the country and the availability of excess energy. The availability of power plants with high productivity in the future allows you to increase the mining power, which is inevitable due to the constant increase in the complexity of bitcoin mining.
Which country is mining the most bitcoins in the world?
China
According to rough estimates by experts, Chinese mining companies produce most of the world’s bitcoins. The main reason for this is extremely cheap electricity. This makes mining profitable from an economic point of view – despite the growing complexity of calculations, the actual value of each mined coin remains high.
According to some reports, the development of this industry is also due to the fact that some energy companies in China supply miners with excess energy. This also makes mining more economically efficient..
The largest Chinese mining companies are BW, AntPool, F2Pool and BTCC. It is estimated that the total computing power of these pools is approximately 60% relative to the world level..
The issue of legalization and use of cryptocurrency as a means of payment in the country has not been resolved. The authorities do not yet recognize the currency, and the People’s Bank of China reports that the pace of distribution of bitcoin and its analogues makes them unreliable. Now in the country operations with Bitcoin and RMB are prohibited. But production in the country continues, and companies simply avoid operations and actions that lead to a clash with the law.
Georgia
The popularity of cryptocurrencies in Georgia is recognized by a number of experts and officials, including Zurab Gvasalia, president of the Banking Association of Georgia. The country has a website for concluding purchase and sale transactions of Bitcoin in national currency – GEL. True, the National Bank is in solidarity with most countries of the world – digital currencies are not legal tender.
According to some experts, cryptocurrency fever has gripped the country so much that every tenth citizen has mined or tried to mine. However, the key production facilities are concentrated in the hands of BitFury, which contains a data center in Georgia. BitFury manufactures chips and hardware for Bitcoin mining. It is estimated that the company’s production capacity is approximately 15% of global total
Sweden
Sweden is suitable for mining bitcoins under most of the conditions presented above. Despite the relatively high cost of energy, the country has optimally built its production and consumption, so mining remains a profitable business. The largest Swedish miner is KnCMiner, headquartered in Stockholm. In the global production volume, its share is 7-8%.
Sweden is good for mining due to the positive attitude towards the cryptocurrency market. She goes to the forefront of states that see good prospects in the elimination of cash. The Swedish risk bank even introduced negative interest rates, which also increased the demand for bitcoin, both among large companies and ordinary citizens. Alcoin and Bitcoin are recognized by Swedish Finansinspektionen as a means of payment.
USA
Of course, the United States of America, being one of the most technologically advanced states, could not stay away from the cryptocurrency boom. True, the country’s share is rather modest compared to China due to economic difficulties. US doesn’t provide electricity so cheap.
America’s largest mining company 21 Inc. located in California. Its production capacity is approximately 3-4% of the total world volume. The company not only extracts currency itself, but also sells equipment.
Bitcoin in the USA is officially recognized, but it is not a means of payment. It can be used in futures trading deals. Brooklyn District Court found cryptocurrencies a commodity and ruled that Commodity Futures Trading Commission should regulate transactions.
In the remaining countries of the world, a share of 15-20% of the world’s computing power is concentrated, it is necessary for the mining of bitcoin.
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