Bitcoin miners are in a ‘hash rate arms race’
According to a big report on cryptocurrency out Friday by financial giant JPMorgan, bitcoin miners are in an arms race and it is driving the cost of minting new bitcoin to all-time highs. Miners are the folks who unleash new bitcoin into the universe by running computationally intensive algorithms on systems called rigs. The miners pump out computing power or “hash rate.” The term refers to how many cryptographic calculations the machines can do per second. The miners pumping out the most have the best chance of earning a new bitcoin. As such, miners are building more and more rigs to one-up their competition.