Bitcoin Hash Rate Reaches Peak Amidst Price Fluctuations
The benchmark responsible for the level of confidence that miners have in the Bitcoin network has been seen to reach its all-time high on Thursday.
The hash rate which usually shows the processing power of the Bitcoin network hit a peak of almost 103 trillion ‘tera’ hashes per second. This simply implies that a lot more miners are putting their computers to work in order to create and “hash” a block of verified transactions before adding them to the continuous growing string of blocks, known as the blockchain. In simple terms, we could say that miners saw profits while verifying and validating transactions on the Bitcoin blockchain. This has made miners increase their cost of operation which is electrical input in majorly, on the network.
Bitcoin Hashrate. Source: Blockchain.info
Bitcoin miner's rush
Currently, miners receive 12.5 BTC as the reward for completing a block. Meanwhile, the price of one Bitcoin has been fluctuating around the $10k zone. This is to say that for every confirmed block, miners are rewarded with about USD $125,000.
According to an explanation of the price hash of Bitcoin mining, Coinshare revealed that it took miners about $6,500 to mine one Bitcoin. Going by this calculation shows that miners could collectively make a profit of about $3500 per Bitcoin which prompts miners to join the network and join the pool to compete for rewards, this ultimately leads to having an increased hash rate.
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