Flooding Threatens China’s Bitcoin Miners, Chinese Billionaire Says ‘Three Gorges Dam Collapse Imminent’

This week cryptocurrency enthusiasts are still focused on the severe flooding in China during the 2020 monsoon season. The flooding has already displaced millions of Chinese citizens and skeptics are concerned about the vast number of bitcoin miners located in the Sichuan province.

The landlocked province in Southwest China, Sichuan is located upstream of the Three Gorges Dam. During the last two months, the 2020 monsoon season ravaged the region.

Reports note that by the end of June, flooding from the rainy season has displaced 744,000 Chinese residents stemming from 26 provinces. The latest reports highlight that 54 million citizens from China have been affected by the floods and 41,000 homes have collapsed to-date.

Estimates show that roughly 50% of the world’s bitcoin miners are located in China and a deep concentration of miners are located in the Sichuan province. Last year, Coinshares reported the concentration in China was around 64%.

Bitcoin mining map via Coinshares Research shows China and Sichuan’s density is quite large compared to the rest of the world. The Beijing-based data firm Bitooda published recent findings that said China only accounts for 50% of the world’s hashrate this year.

New estimates from Bitooda stress that China only accounts for 50% of the world’s hashrate in 2020. Every year, reports also explain how Chinese miners migrate in order to obtain cheap hydropower resources during the rainy season.

Moreover, every 12-months during the last few years, reports have shown the raining season in China wreaked havoc on mining facilities.

On July 27, 2020, the mining operation F2pool, a pool that commands the second-largest share of BTC hashrate, described how bitcoin miners completed the “‘Great Migration’ to prepare for the Sichuan hydro season.” F2pool’s report stresses that halfway through 2020 “the mining industry has already faced several enormous challenges.”

Despite the dangers of flooding, the rainy season gives…

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