Bitcoin Mining Power Concentrated in Just Three Nations

The Bitcoin network's decentralization is facing a challenge due to its concentrated mining power. According to an analyst, nearly 68% of the network's total hashpower comes from just three countries: the United States, China, and Russia. The concentration of mining capacity in these jurisdictions is driven by infrastructure, energy access, and regulatory dynamics.

The US leads due to institutional-scale operations, access to capital markets, and relatively clear regulations in states like Texas. Meanwhile, China contributes 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.

This pattern suggests that the distribution of hashpower is not a coincidence, but rather a result of real-world factors. Analyst Lucky noted that tracking hashpower distribution offers a more honest view of where influence within the BTC network actually sits.