DMM.com, the e-commerce giant in Japan who famously said that we are getting into the bitcoin mining game at the end of 2017 and invested a lot of money and eventually lost a lot of money. These newer players didn’t last very long as the price went down. This is one of the many stories of bitcoin mining companies getting washed out and comes just days after GMO internet who was a big hardware producer for bitcoin mining and also a big miner themselves reported that they will also be shutting down operations.
Babushka’s in Russia
Babushka or Grandma’s in Russia are loving bitcoin mining. Some old ladies in central parts of Russia are getting into bitcoin mining. Central Russia has one of the world’s cheapest power rates and so for these grandma’s who have one or two miners running in their basements it doesn’t cost them very must and as such they are very competitive in their mining.
Mining shutdown in Abkhazia
Just a little bit south of the Russian border, the Republic of Abkhazia is turning off power to cryptocurrency mining farms. In total it is 9000 kWh of power that has been taken away from these cryptocurrency miners in Abkhazia so there were not any giant mining operations happening there which were equivalent to about 1800 houses worth of power which for bitcoin mining is just a small amount of mining. So there were only some small-scale operations but the government is saying that’s a temporary measure which might come back in the future but for right now they are cut off.
Bitmain: The mining giant
BTC.com and Antpool have both lost a huge chunk of their hash power during the crypto winter. Both of these bulls are owned by Bitmain and this really shows the struggles that bitcoin has been having. Bitmain had to law off 50% to 80% of its workforce in this market downturn so even though DMM and GMO have both gone away, everyone’s struggling in the current market. The hardware manufacturers have invested a lot of capital into the bitcoin mining game and it’s getting harder and harder to sell those miners when the profit margins are so low.
Bitcoin Cash: Fears of Centralization
Bitcoin Cash fears of centralization as BTC.top mining pool crosses over the 50% thresh hold controlling now a majority of the hash power in the bitcoin cash network. This actually shows how small the bitcoin cash network is currently and that we really need to see a lot of more miners coming into the bitcoin cash network to provide more power and more decentralization to the mining network overall. It’s a pretty hard sell right now considering what has happened to bitcoin cash in the current price point of bitcoin cash.
What do you think about the future of bitcoin mining and bitcoin cash mining centralization? Tell us in the comments section below.