Cambridge Survey Shows US Dominates Bitcoin Mining with 75.4% Hashrate, Eyes Further Growth
According to the latest Cambridge survey, the US has firmly established itself as the world’s largest Bitcoin (BTC) mining hub, accounting for 75.4% of the reported hashrate.
This comes as the country continues to prioritize the comprehensive development of the Bitcoin mining industry.
Cambridge Confirms the US as the Top Bitcoin Mining Power
The findings from Cambridge were outlined in the recent Cambridge Digital Mining Industry Report. The Cambridge Centre for Alternative Finance (CCAF) conducted the survey between June and September 2024.
Of 97 companies that registered for the survey, 49 completed it, resulting in a response rate of 50.5%. The report highlighted that the US significantly outpaced all other countries regarding Bitcoin mining dominance.
“Survey results further indicate that the US has solidified its position as the largest global mining hub (75.4% of reported activity),” the report read.
Canada came in second, at 7.1%. Paraguay, Norway, and Kazakhstan followed with 3.4%, 2.8%, and 2.6%, respectively. However, due to the US-dominated sample of respondents, the survey’s findings may not fully reflect the global distribution of Bitcoin mining.
As a result, Cambridge acknowledged that the data may overrepresent US activity in Bitcoin mining and underrepresent activity in other countries. In fact, the latest data from the Hashrate Index showed that the US only accounts for 36.0% of the global hashrate.
US to Empower Bitcoin Miners with Energy Autonomy
Still, the figure underlines the US’ dominance in the industry, a position the country is looking to expand further. Recently, US Commerce Secretary Howard Lutnick shared the nation’s vision to boost the mining industry.
Lutnick highlighted the Commerce Department’s investment accelerator initiative as a key resource to help miners gain greater autonomy over their energy needs. On March 31, President Trump signed an executive order establishing the “United States Investment Accelerator.”
The initiative seeks to streamline regulatory processes and facilitate investments above $1 billion. In a recent interview, Lutnick explained the investment accelerator’s benefits for miners.
“We’re going to make it if you want to mine Bitcoin and you find the right place to do it. You can build your own power plant next to it,” he stated.
Secretary Lutnick envisions that this could help Bitcoin mining companies become more independent from traditional energy grids. A notable aspect of this vision is using waste gas from gas fields to power mining operations.
This could lower energy costs and reduce environmental impact. By controlling their energy supply, miners would have the flexibility to manage costs more effectively, potentially boosting Bitcoin mining in America.
“The next generation of miners in America will be able to control their destiny, control the cost of power, and I think that is going to turbocharge Bitcoin mining in America,” Lutnick added.
As Lutnick’s vision materializes, companies are already positioning themselves to capitalize on the favorable conditions. Cleanspark, a Bitcoin mining company, is nearing approval for a new facility in Tennessee. This project is expected to strengthen the US mining sector, capitalizing on favorable regulations and access to energy resources.
Interestingly, the sector has also attracted attention from high-profile figures, such as Eric and Donald Trump Jr. Last month, the President’s son’s partnered with Hut 8 to launch American Bitcoin Corp.
This new venture focuses on large-scale Bitcoin mining and building a strategic reserve. The firm has also outlined its ambition to go public in the future.
US Bitcoin Mining Faces Tariff Hurdles, but Analysts Optimistic for Future
Meanwhile, this rapid scaling of mining operations could significantly impact the global hashrate, which has already shown rapid growth in Q4 2024.
“The Bitcoin mining industry has largely shrugged off halving-related concerns, with network hashrate accelerating sharply in Q4 2024. This surge was driven by a combination of favourable political developments and a strong price rally, propelling the hashrate to a record high of 900 Eh/s,” the CoinShares report noted.
Notably, market analysts at CoinShares project that the global Bitcoin hashrate could surpass 1 zettahash per second (ZH/s) by July 2025. Moreover, by 2027, the number is expected to increase to 2 ZH/s.
Nonetheless, concerns remain. Tariffs on Southeast Asian countries, where most mining equipment is sourced from, increase costs.
This could lead to higher operational expenses, threatening profitability and US market dominance. Given this, CoinShares’ analysts also project that Q1 and Q2 2025 results may be less favorable.
“Q1 results could disappoint as hash price continued its decline due to Bitcoin trading in a narrow range between US$80,000 and US$90,000. Q2 results may show deterioration, as tariffs on imported mining rigs range from 24% (Malaysia) to 54% (China). Miners relying on older or less efficient rigs face higher exposure to these tariffs,” they remarked.
Despite the challenges, analysts are optimistic about Bitcoin’s future. It is gaining traction as a reserve asset among several US states. Furthermore, inflation and currency devaluation could strengthen Bitcoin’s role as a hedge against economic uncertainty.
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