On May 2, 2023, Bitcoin’s network achieved a remarkable feat: its hashrate reached an all-time high of 491.15 exahash per second (EH/s) at block height 787,895, nearly a half zettahash or 500 quintillion hashes per second. This momentous spike signifies a significant amount of computational power supporting the network. In the past month, Bitcoin’s hashrate averaged around 344.4 EH/s over 2,016 blocks, dipping below the 300 EH/s range on five separate occasions since April 2.
While the surge in hashrate is undoubtedly impressive, it’s important to note that the network experienced slower block intervals in April, with block times consistently exceeding the ten-minute average over the 30-day period. As a result, over 240,000 transactions remain unconfirmed, causing a notable backup in Bitcoin’s mempool. This development could negatively impact users who depend on the speed of Bitcoin transactions.
Bitcoin’s latest hashrate surge followed a previous milestone on April 18, when the network reached 440.80 EH/s at block height 786,013. This tremendous growth prompted River Financial’s research analyst Sam Wouters to predict that Bitcoin could enter the zettahash era by the end of 2025. However, despite the rapid increase in hashrate, block times still lag behind the ten-minute average, and a downward difficulty adjustment between 1.22% to 2% is expected.
The top mining pool at the time of writing, Foundry USA, boasts 107.66 EH/s, or 31.17% of Bitcoin’s total hashpower. It is followed by Antpool with 80.75 EH/s, F2pool’s 42.62 EH/s, Binance Pool’s 29.91 EH/s, and Viabtc’s 23.18 EH/s.
Proponents of the network’s rapid hashrate growth argue that it indicates increased interest in Bitcoin and its underlying blockchain technology, resulting in a more secure network. Critics, on the other hand, point to the network’s slower block times and difficulty adjustments. They argue that while the increased hashrate is impressive, the network still struggles to maintain the ten-minute block time average, which could lead to transaction slowdowns and a poorer user experience.
In conclusion, while the recent surge in Bitcoin’s hashrate showcases the growing interest in and adoption of the cryptocurrency, it also highlights the need to address the network’s slower block times to maintain its efficacy. The predicted entrance into the zettahash era has raised expectations and opened the floor for discussions on how best to balance the pros and cons associated with increasing computational power on the Bitcoin network.