Bitcoin Decentralization Under Threat from Concentrated Mining Power

The decentralization of Bitcoin (BTC) mining has been called into question due to its heavy concentration in just three countries. The United States, China, and Russia together account for an estimated 68% of the network's total hashpower.

According to analyst Lucky, this imbalance is not a coincidence but rather driven by infrastructure, energy access, and regulatory dynamics. The U.S. leads due to institutional-scale operations, access to capital markets, and relatively clear regulations in states like Texas.

China continues to contribute despite official bans, with underground and relocated operations drawing on cheap hydropower and coal. Russia benefits from low electricity costs and cold climates that reduce cooling expenses.