Bitcoin hash rate: new record at 1.1 zettahashes per second
The Bitcoin network's hashrate hit a historic high in early September.
The Bitcoin network's hashrate reached a historic high in early September. For the first time the average hashrate surpassed the 1.1 ZH/s threshold, while the 7-day average also climbed above the symbolic 1 ZH/s.
From 1 EH/s to 1 ZH/s in ten years
In 2016, Bitcoin first hit 1 exahash per second. Now, less than ten years later, capacity has grown a thousandfold. Despite setbacks, such as China’s 2021 mining ban, the industry has rebounded and migrated to North and South America and Central Asia.
Pressure on miners
With the record hashrate comes a forthcoming difficulty increase of more than 7%, one of the biggest this year. For miners that means higher costs, shrinking margins, and more pressure to tap cheaper energy sources or modern hardware. Since the Bitcoin halving in April, block rewards have already been cut in half, putting further pressure on profitability.
Strategic shift
Large mining companies are seeking new revenue streams, including via high-performance computing for AI applications. At the same time, the debate over energy use and sustainability is growing: estimates of the share of renewable energy range from 40% to nearly 60%.
Impact for investors
For investors, the development has two sides:
- Bullish in the long term: greater security and institutional appeal for Bitcoin.
- Short-term pressure: miners may be forced to sell their reserves, which could weigh on the price temporarily.
The milestone of 1 ZH/s signals a stronger, more professional network, but it also raises the bar for miners in an increasingly competitive market.
