Whereas the Bitcoin market remained comparatively steady within the latter a part of Q3 as discussions about spot ETFs subsided, the hash fee exhibited constant development all through the quarter. It lately reached a contemporary milestone, surging from 250 EH/s at first of 2023 to greater than 400 EH/s this month.
Bitcoin mining problem can be exhibiting no indicators of stopping because it set a brand new all-time excessive of 57.11 T. Whereas hash value situations stay difficult, the brand new Coin Metrics report means that “savvy” Bitcoin miners proceed so as to add operational hash fee. In actual fact, the mining panorama in 2024 is about to get extra sophisticated.
Complexity of the Mining Panorama in 2024
As the subsequent halving occasion approaches inside a yr, miners in the USA are ramping up their manufacturing efforts. They’re concurrently managing their mining fleets in anticipation of the upcoming discount in block rewards within the spring.
This development in direction of larger effectivity throughout the community is obvious within the knowledge, notably when analyzing the typical network-wide effectivity, which continues to enhance, in accordance with Coin Metrics’ newest version of ‘State of the Community.’
In actual fact, American miners are more and more deploying fashionable equipment, contributing to the continued enhancement of total community effectivity.
The stakes for the mining trade can be elevated even additional within the upcoming yr with the anticipated launch of the state-of-the-art Antimer S21. Its producer, Bitmain, has lately introduced that the S21 is slated to start transport within the first and second quarters of 2024.
The introduction of this considerably extra highly effective mining machine will add a brand new layer of complexity to the mining panorama in 2024, the report acknowledged.
Whilst such a development paints a bullish image for the Bitcoin community, this “maturation” of the mining trade has implications elsewhere, although.
The crypto intelligence corporations reported that the focus of hash fee within the fingers of some huge mining swimming pools stays a serious concern for the group.
In keeping with its knowledge, Foundry and Antpool have collectively managed north of fifty% of Bitcoin’s hash fee since January 2023. Such dominance poses an “ever-greater centralization threat.”
Though Foundry’s dominance has barely diminished from its peak of 34% in February to 29%, Antpool is steadily advancing, growing its share by 5% throughout the identical interval, now reaching 23%.
In the meantime, F2Pool, the third-largest mining pool with a 13% share, has additionally prompted a contemporary wave of scrutiny by way of the function of mining swimming pools and their impression on transaction settlement. Briefly, the dearth of transparency relating to insurance policies and procedures is fueling a rising sense of mistrust in direction of mining swimming pools.