China controls much less Bitcoin (BTC) mining power than people think, according to a new survey.

Released on July 16 by asset manager Fidelity and crypto inquiry business firm BitOoda, the survey reveals that People's republic of china is actually responsible for around l% of Bitcoin mining — not 65%.

Much Chinese Bitcoin mining chapters "unaccounted for"

Analysts used what they describe every bit various sources, besides as "confidential conversations" with miners, who agreed to divulge information on aspects such as ability cost on the condition that they remained anonymous.

"Nosotros were able to locate ~4.1GW of power beyond 153 mining sites, including 67 sites or ~3GW power capacity, with ability cost information provided upon status of anonymity," they summarized in an accompanying blog post.

BitOoda further institute that 14% of mining now comes from the United States. Nonetheless, estimates in China were hard to approve, and the 50% figure remains open to interpretation.

"Our conversations lead u.s. to believe that nosotros accept accounted for the majority of chapters in the US, Canada and Iceland, but only a small fraction in Mainland china and the 'Balance of World' category," the web log post continued.

As Cointelegraph reported, previous guesses most China's involvement in Bitcoin put its capacity share at around 65%.

Geographic distribution of surveyed mining capacity vs estimated 9.6GW total capacity

Geographic distribution of surveyed mining chapters vs estimated 9.6GW total chapters. Source: BitOoda

Is the U.S. "hash state of war" nearing?

Standing, the survey produced more than insights, such as the affect of China's overflowing, or "hydro" flavor on miner revenue.

For six months of the yr, miners located in provinces such equally Sichuan sell less Bitcoin to fund expenses for roughly half the year.

"We argue against conventional wisdom, which suggests that depression ability prices drive Hashrate growth during the overflowing season," the blog post states.

"In our view, the flood or hydro season shifts the cost bend down for 6 months of the year, leading to lower sales of Bitcoin to fund operating expenses as miners accumulate uppercase to fund capacity growth."

According to an accompanying chart, average toll gains fluctuate inside and exterior of hydro seasons, while Bitcoin network hash rate growth stays stable.

Hash rate vs. BTC price, segregated by flood and dry seasons

Hash rate vs. BTC cost, segregated past flood and dry seasons. Source: BitOoda, Blockchain.com, Kaiko, Coinmetrics

Miners have had to come to terms with the elements in Sichuan and elsewhere, with recent years seeing multiple reports of mass hardware wipeouts due to floods.

On the topic of the U.S. meanwhile, content aggregator TFTC was bullish on the future. "Seeing that the Usa is already accounting for 14% of hashrate is incredible and I expect that number to rise significantly," contributor Marty Bent wrote following the survey release.

Recently, RT host Max Keiser said he was convinced that a "global hash war" in Bitcoin would see the U.Southward. corner increasing amounts of hash rate every bit office of a three-fashion tussle — not with China, but with Islamic republic of iran and Venezuela.