We have always believed that Bitcoin is the best blockchain in the world because of its decentralization and safety. However, Bitcoin price incident just dropped from $60K to $52K due to the impact of the hashrate change has forced us to rethink this.
Chinese miners possess 65% of the power of the entire Bitcoin blockchain thanks to the advantage of cheap electricity prices, which means that whatever problem happens to the mining system here will drastically affect BTC price and the whole market. Let's check coin360:
(https://i.imgur.com/p9JaAju.jpg)
Please refer to this article, the drop in BTC price can be seen from April 16: Bitcoin Mining Pool Hashrates Plummet Following North-West China Blackouts (https://finance.yahoo.com/news/bitcoin-mining-pool-hashrates-plummet-110000621.html)
Wu Blockchain, who reports exclusive crypto news on their website China Crypto News, revealed drops in the multiple pools. Antpools fell by 24.5% in the last 24 hours, BTC.com by just under 19%, Binance by 20%, and Poolin by a considerable 30%.
Because of EIP-1559, Chinese miners also threatened the Ethereum community by wanting to conduct a 51% strike on April 1. Fortunately, EIP-3368 calmed these miners.
As such, we can see the development of the entire crypto market being heavily dominated by the Chinese mining system, and this really worries me. Besides the problem of huge energy consumption, POW is posing us the problem of the stability and safety of network and market. Is POS a trend that can not be countered?
What do you think about the influence o crypto mining industry in China on the entire crypto market? Do you think POW is still worth it? Or should we convert them to POS to save energy and maintain high decentralization?