The Bitcoin network hashrate dipped nearly 40% around Christmas. We had not seen such a drop since May 2021, during the great exodus of Chinese miners.
When the blizzard hits bitcoin
The hashrate went from 254 to 155 exahash per second (EH/s) between December 21 and 24. This drop is equivalent to stopping one million S19j Pro miners each producing 100 Th/s.
The power of the Bitcoin network has since returned to around 200 PE/s, still up 13% from its level a year back. We are also up sharply since December 2017: +1400%.
This momentary drop is not linked to a miners’ capitulation, but to the blizzard of the century that is sweeping the United States. Faced with this historic snowstorm that killed more than 50 people across the country, American BTC miners stepped aside to restore electrical power to the network.
Here’s what the Texas Blockchain Council has declared shortly before the main storm:
“As Texas and much of the United States faces this winter storm, the bitcoin mining industry in Texas will support the Texas network by proactively reducing consumption. The miners settled in Texas are working with energy companies who are monitoring the situation closely. They are ready to help with the state’s efforts to keep families warm and safe during these extreme weather conditions. »
Miners have greatly reduced the risk of blackouts by ceasing their activities. This ” curtailment relieved the energy specialists who were able to cope with the peak in energy consumption caused by the polar temperatures.
That said, some miners didn’t have much of a choice:
“Mining bitcoins in winter is not easy.
Here are some photos of our containers taken during the recent snow storm. »
Mining industry strengthens the power grid
Texas has understood this for a long time, and it was recently the Japanese energy company Tepco who realized the obvious.
With the construction of high voltage lines not going anywhere near as fast as the deployment of renewable energies, huge amounts of electricity are wasted. Tepco has therefore decided to mine bitcoin in strategic places to exploit its surplus renewable energy more efficiently.
You have to hammer it. One watt consumed by a bitcoin miner is not too much. Miners solidify energy companies.
On the one hand by being able to adjust their electricity consumption in real time, and on the other hand by buying electricity that is not crucial for society.
Miners are valued customers for energy companies who really need all the cash flow possible to finance their transition to renewable energies.
Let’s end by pointing out that we now know that almost 40% of bitcoin miners are in the United States…
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