Bitcoin mining is so profitable in China that the cryptocurrency could fall by half and miners would still make money, according to Bloomberg New Energy Finance. Currently above 72% bitcoin mining done in China only according to the Bloomberg report.
“Bitcoin mining under the current price is likely to be profitable under any electricity price regime in China. report
Even at the country’s highest regulated electricity tariff, miners can profit from bitcoin as long as it’s worth more than $6,925, BNEF analysts including Sophie Lu wrote in a report Wednesday. The digital currency currently trades at about $13,850, down 29 percent from its record.
Bitcoin’s 1,400 percent surge last year saw greater demand for electricity to run the computers used in the cryptocurrency’s mining. About three-quarters of those machines ended up in China, the world’s largest electricity user, which is now seeking to discourage the practice given a surge in power use in some provinces.