- Following the mining of seven consecutive blocks by AntPool, the second-largest Bitcoin mining pool, worries regarding the concentration of Bitcoin mining have returned.
- In less than two hours, the pool verified over 20,000 transactions and made 23 BTC, comprising 21.875 BTC in mining rewards and 1.283 BTC in fees.
- The majority of the Bitcoin hashrate is controlled by AntPool and Foundry USA. Concerns are raised by their shares over possible dangers to the decentralized character of Bitcoin.
- Following a noteworthy incident involving AntPool, the second-largest Bitcoin mining pool, worries regarding the centralization of Bitcoin mining have returned.
In one hour and thirty-eight minutes on May 17, AntPool mined seven consecutive blocks between block heights 843,893 and 843,904.
AntPool Mines Seven Blocks in a Row
The mining pool verified more than 20,000 transactions during this time, earning 23 BTC in total—21.875 BTC in mining rewards and 1.283 BTC in fees.
The crypto community took note of this remarkable run, which demonstrated the dominance of major pools like as Foundry USA and AntPool. The fact that these two mining pools own more than 50% of Bitcoin’s hashrate raises questions about centralization. To put things in perspective, Foundry USA mined the two blocks right following AntPool’s streak as well as the one that preceded it, meaning that these two pools mined ten consecutive blocks in a single day.
Large mining pools’ dominance has raised red flags in the past for Bitcoin pioneer Luke Dashjr. He contends that this kind of centralization jeopardizes the decentralized nature of Bitcoin and could result in problems with censorship and control. TOBTC, a cryptocurrency analyst, expressed comparable worries.
Smaller miners find it difficult to compete in the current economic climate, which makes the dominance of these pools all the more predictable. According to reports, the banking behemoth JPMorgan said that the average mining cost had increased to almost $45,000 due to the BTC network’s current hashrate and power usage.
Furthermore, the pressure on Bitcoin miners will probably increase as a result of the recent governmental attention. In the US, bitcoin mining is now seen as a national security risk. Recently, President Joe Biden gave MineOne Partners Ltd., funded by China, instructions to sell the site and stop building a cryptocurrency mine in Wyoming.
Other nations are worried about their energy usage in the interim. Authorities in Venezuela have declared their intention to cut down all cryptocurrency mining operations from the country’s electrical infrastructure. In a similar vein, the Norwegian government is concentrating on limiting data center energy consumption and regulating the industry.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
