Bitcoin's Computing Power Plunges 100 EH/s as Over 400,000 Mining Rigs Go Offline

Bitcoin’s network hashrate has experienced a significant contraction, with influential industry figures revealing that roughly 100 exahashes per second have vanished from the network—representing an 8% drop from its previous peak. According to calculations from Nano Labs founder Kong Jianping, this computational decline correlates with the shutdown of approximately 400,000 mining machines across the sector.

The precise mechanics behind this figure become clearer when examining hashrate dynamics: assuming an average mining rig produces 250 terahashes per second, the withdrawal of 100 EH/s necessarily implies a massive deactivation of hardware. Within this massive wave of shutdowns, roughly 5% of the 400,000 offline miners—or approximately 20,000 machines—likely went down simultaneously, according to market analysts tracking real-time mining operations.

Kong attributed this hashrate erosion primarily to accelerating closures within Xinjiang’s mining operations. The western Chinese region has long served as a critical hub for Bitcoin mining due to its abundant hydroelectric power resources. However, persistent regulatory pressures and operational restrictions have forced mining farms in the area to cease activities, triggering this network-wide contraction.

The implications ripple through the mining ecosystem, as equipment operators grapple with idle hardware, increased operational costs with diminished returns, and uncertainty about when conditions might stabilize. This hashrate adjustment also affects Bitcoin’s difficulty mechanism, which automatically recalibrates every 2,016 blocks to maintain roughly 10-minute block times. A reduced hashrate typically precedes a difficulty downward adjustment, potentially providing relief to remaining active miners.