Bitcoin Hash Rate Reaches New High
This past Saturday, bitcoin reached a brand-new milestone. The bitcoin hash rate— the determining system of the network’s processing power– reached an all-time high of 79 million tera hashes per second.
To understand why this is a substantial milestone, we require to explore 2 things:
- What the hash rate suggests
- How far this number has actually come.
Bitcoin’s hash rate is extensively accepted as an indicator of how strong bitcoin’s security has become. It basically reflects the speed and computing power needed to mine bitcoin. The harder it is to mine bitcoin (which is essentially fixing superhard mathematical problems), the more computing or hash power you need.
Bitcoin miners carry out a similar function that a main authority like Visa does for fiat users. They tape-record deals and inspect them for precision to avoid deceitful activity like “double costs,” where someone attempts to spend the same bitcoin two times. But unlike Visa, bitcoin miners are not centralized. They’re expanded across countless computer systems across the world. This method, the network has no single point of failure. The more miners who mine, the more safe the network.
Bitcoin mining has ended up being more tough than ever This shows that regardless of a harsh current bearishness, there’s an increasing level of activity on the bitcoin network. And the high level of trouble means the network is more safe than ever.
In July 2017, bitcoin’s hash rate was around 6 million tera hashes per second. That’s a 1,217% boost in just two years. In July 2013, the network was processing less than a million tera hashes per second. Now there are more bitcoin hashes per second than there are grains of sand on the Earth.
The hash rate’s development hasn’t been a completely smooth climb. However the processing power will just keep growing.
One big factor for that is the bitcoin halving, which is showing up in May2020 Bitcoin halvings traditionally enhance bitcoin’s rate, so miners will be more determined than ever to mine for bitcoin. And since their benefits for mining will be cut in half after the halving, competition among miners will likely grow, which implies there will be more miners to confirm transactions and keep the network protected.
Assistant Managing Editor, Early Investing