On April 14, Bitcoin miners adjusted the mining difficulty downward by 1.26% at block height 731,808, the third breakthrough this year. Currently, miners have more than 200 exahash per second (EH/s) of computing power to mine the Bitcoin blockchain as the hash rate increases as the difficulty decreases. Additionally, Bitcoin miners have 108,160 blocks to wait until the Bitcoin reward halving, which is estimated to occur around May 3, 2024.
Bitcoin miners see third breakout in 2022
Bitcoin’s Difficulty Adjustment Algorithm (DAA) fell on Thursday as the parameter slipped 1.26% at block height 731,808. This is the third DAA drop in 2022, as difficulty dropped 0.35% on March 17th and 1.49% on March 3rd. In 2021, the DAA has declined seven times, one of the largest declines in Bitcoin’s lifetime. On March 7, 2021, it fell 27.94% on the day. BTC’s hash rate has increased since the change and is currently hovering above the 200 EH/s region.
The 1.26% drop makes it easier for miners to find blocks, as the difficulty was 28.59 trillion two weeks ago, and today, the metric is now at 28.23 trillion. At the time of writing, there are 1,982 blocks until the next DAA change. Currently, an increase is expected, but estimates are likely to be very different by then in about two weeks. The next DAA change is expected to occur on April 28, 2022. The current block subsidy of 6.25 BTC is worth $252,781, using today’s BTC exchange rate, in 751 days, this will change.
More than 100,000 block rewards will be halved, and more bitcoin mining pools will join the competition
Bitcoin miners are getting closer every day to the block reward halving expected to occur on or around May 4, 2022 (however, some estimates assume it could be on May 3, 2022). After that, BTC miners will see their 6.25 BTC per block halved to 3.125 BTC per block. Currently, the network produces 900 bitcoins per day (144 blocks), and at the time of writing, bitcoin has an annual inflation rate of 1.74%. So far, 90.53% of bitcoins have been minted, and there are 1,988,481.23 bitcoins left to issue.
The change in difficulty has made it easier to find blocks compared to the past two weeks, and Foundry USA is the top mining pool with 72 blocks and 16.63% or 33.54 EH/s of hashrate found in the past three days. Several more mining pools have joined in the last few days, as there are now 14 known mining pools, up from just 11 known mining pools two weeks ago to mine Bitcoin. Currently, unknown or invisible miners control 1.39% or 2.8 EH/s of global computing power. Unknown hashrate has managed to get six blocks in the past three days.
What do you think of the mining difficulty drop for the network? Let us know what you think about this topic in the comments section below.
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