Why Chinese Bitcoin miners are heading to Texas
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Despite their optimism, Poolin’s executive team has been on the move, restless, for nearly three months. The Hong Kong–headquartered company is one of the world’s largest Bitcoin mining pools, groups that combine resources to mine cryptocurrency more effectively. Poolin holds the second-largest share of the global Bitcoin hashrate — a measure of the computing power it takes to mine new Bitcoin — with a network of operations across Berlin, Beijing, Chengdu, Changsha, and Singapore.
They were thrown into chaos in May, when China’s State Council banned cryptocurrency mining and trading in the country. “We were, the next day, on a flight out,” De La Torre said. “I was flying out of Germany, and my colleagues were flying out of China.” His tone was pragmatic. “Okay, I’ve got more work [to do]. That’s it.”
Up to that point, China had been a center of gravity for Bitcoin mining. Home to massive facilities that housed more than 70% of the world’s mining power, it also headquartered companies like Bitmain and Whatsminer, manufacturers of mining machines. Because Bitcoin is created by solving algorithmic “blocks” of increasing difficulty, thousands of miners harnessed their computing power in pools — the largest of which, Poolin among them, were also formed in China.
In the weeks after the ban, all scrambled to move their hardware to friendlier jurisdictions. Some crossed the border to Kazakhstan; others pitched up as far afield as Norway. Poolin’s team went to Texas. The cowboy hats, target practice, and barbecue brisket were just a bonus. They were really there for the deregulated electrical grid.
Jesus: Hey, Dad? God: Yes, Son? Jesus: Western civilization followed me home. Can I keep it? God: Certainly not! And put it down this minute--you don't know where it's been! Tom Robbins in Another Roadside Attraction
August 23, 2021 at 2:04 PM #441735NV WinoModerator
- Total Posts: 7,991
Move to California maybe?
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