Bitcoin mining difficulty drops for fourth time in a row

Amid the ongoing crackdown on cryptocurrency mining in China, mining new Bitcoin (BTC) continues getting easier as mining difficulty drops continuously.

Bitcoin mining difficulty drops for fourth time in a row

Bitcoin network posted its fourth consecutive negative adjustment of mining difficulty on July 18, dropping 4.8%, according to data from Bitcoin explorer BTC.com.

The difficulty metrics have now almost halved over the past two months, after reaching over 25 trillion on May 13.

The latest mining difficulty adjustment occurred at block 691,488, reducing the difficulty rate from 14.4 trillion to 13.7 trillion, the lowest level recorded since June 2020. 

The latest mining adjustment follows a series of consecutive difficulty drops that started with a nearly 16% decline on May 29. Further negative adjustments continued with a 5.3% drop on June 13 and a massive 28% decline on July 3 — the biggest mining difficulty drop on the Bitcoin network.

Bitcoin mining difficulty is a measure of how hard it is to mine a BTC block, with a higher difficulty requiring additional computing power to verify transactions and mine new coins.

Mining difficulty adjustment is Bitcoin occurs every 2,016 blocks, or about every two weeks, as Bitcoin is programmed to self-adjust in order to maintain a target block time of 10 minutes.

Recent heavy drops in mining difficulty are in response to the ongoing miner migration out of China, due to a major crackdown on cryptocurrency mining by local authorities

The ongoing difficulty drop falls in parallel with declining Bitcoin hashrate as well as decreasing average BTC transaction fees.

Read: Binance burned $390M worth of BNB tokens in 16th quarterly token burn event

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