The Resiliency of the Bitcoin Network with Nick Hansen
“The China ban also demonstrates the resiliency of the bitcoin network and the bitcoin mining network. As long as there’s one computer running bitcoin, bitcoin won’t die, so we’ve effectively created this new lifeform that’s going to far outlast all of us, and probably humanity.”
— Nick Hansen
Location: Los Angeles
Date: Sunday 17th October
Company: Luxor Technologies
Proof-of-work mining is at the heart of the bitcoin network consensus, ordering transactions into blocks and providing security. Without a healthy mining ecosystem, the Bitcoin network is vulnerable.
Earlier this year, China banned Bitcoin mining within the country. At that time, over 50% of the hashrate was said to be located in China. What followed was a huge drop in the hashrate as miners migrated out of the country.
While, on the face of it, this could be seen as a negative, the outcome was a more decentralised hashrate and a smaller concentration of miners operating within an authoritarian country.
In addition, stressed economic conditions have led to increasing uncertainty in the supply chains surrounding the fabrication of new ASIC mining equipment.
So what is the state of the Bitcoin mining industry today?
In this interview, I talk to Nick Hansen, CEO of Luxor Technologies. We discuss the resilience of the bitcoin network, mining pools and the global economics of ASIC supply chains.
This episode’s sponsors:
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Exodus – The world’s leading Desktop, Mobile and Hardware crypto wallets.
Ledger – State of the art Bitcoin hardware wallet
Compass Mining – Bitcoin mining & hosting
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