China’s crackdown on Bitcoin and cryptos has resulted in the closure of mining operations in several Chinese provinces, including Xinjiang and Sichuan. This shift in the center of gravity of mining outside of China is a good thing for US miners, who intend to profit from the downfall of their Chinese peers. Make way for Blockware, which has just closed a round of financing!
Ambitious goals for Blockware
Blockware Mining is a Chicago-based company that specializes in Bitcoin mining as well as providing mining infrastructure. It has been focusing on the acquisition of mining equipment for over a year now. At the same time, it has purchased a two-acre site in Paducah, Kentucky.
Thanks to its various funding, Blockware was able to order more than 14,000 ASICs in the second quarter of 2021. Of these, 8,000 will be shipped to the Paducah site to make it fully operational. The remaining 6,000 will be resold to various US operators. With this latest acquisition, the company aims to increase its hashrate from 0.3 exaseconds (EH/s) to more than 1 by mid-2022.
“Currently, it is estimated that only 10% of the global hash rate is generated in the US […] By offering low hosting rates, Blockware Mining will create better global distribution of the Bitcoin network, while making the US hash rate more competitive internationally. “
Stoltzner, CEO of Blockware Mining
According to data from BTC.com, 1 EH/s of power would make Blockware the 13th largest Bitcoin miner in the world. The company would rank just behind Huobi, which accounts for 1.82 percent of the Bitcoin network’s hash rate with 1.62 EH/s.
Although the Bitcoin network is decentralized, Chinese miners have long held the majority of the total hash power. In April 2020, China accounted for about 65% of it. In April 2021, a flood in a Chinese province temporarily lowered the global hash rate. Subsequently, recent bans pushed the hashrate below 100 EH/s for the first time in a year. The difficulty rate of bitcoin mining is expected to drop by more than 20 percent when the network adjusts it this week.
