China has more than half of the global bitcoin mining capacity and plays an important role in the bitcoin mining ecosystem. With bitcoin prices volatile, 2020 will be a roller coaster for the industry, with most of the world’s largest cryptocurrency being produced in China. In the first half of this year, China’s mining machinery manufacturers were shut down after the outbreak of new crown pneumonia. On March 12, bitcoin plummeted by about 50% to below $4000, leading to the closure of a large number of bitcoin mines. Later, bitcoin was halved, and pessimism pervaded the industry. Then bitmain put on a long-running farce, and the other three miners were in trouble. In the second half of the year, bitcoin prices soared unexpectedly, recently hitting a record high of about $28000. The price of Ethereum has soared to more than $700 due to the defi craze. For a time, miners, miners and miners made a lot of money. The nearly a year long power struggle between bitmain, a miner’s equipment maker, and Mainland China’s two co founders, appears to be over, with the two sides agreeing to reach an agreement by the end of this year. As part of the settlement, Zhan will own antpool and bitcontinental’s Chinese mines, while Wu will control bitcoin’s pool and the company’s overseas mines. Despite all the trouble, the mining giant is still doing well this year as demand for mining machinery from the bitcoin bull market continues to grow in the second half of the year. However, as the company splits into two, the year ahead will be full of uncertainty. Yang, the founder of microbt microbt, seems to be getting rid of a dispute with bit mainland recently. Yang was arrested on suspicion of embezzling public funds as the competition between his former employer bit mainland and his company intensified. Despite the legal disputes between the two companies, microbt has grown into a strong competitor, seizing market share from bit mainland with its whatsminer model. Jianan had a similar internal struggle in 2020, but it was soon resolved. With the introduction of high-performance mining machines, the company’s share price has tripled to compete with whatsminer’s m30s machine. The company is slowly catching up and there will be more work to do in the coming year. The core problem faced by miner manufacturers in bitcoin production is the lack of high-end processing chip capability. At present, TSMC, Samsung and SMIC occupy the leading position in high-end chip production. High end processes are being snapped up as demand for audio, video, 5g, and artificial intelligence industries grows, while instability in mining machine capacity prevents conservative factories from providing more capacity. It is estimated that the high-end processing capacity acquired by the mining industry next year will not exceed 1 million high-performance mining machines. Bitcontinental will acquire TSMC’s 5 nm capacity, so it will occupy a large share. In 2020, bitcoin mining pools will be shuffled by the hash rate distribution, and the dominant mining pool BTC Com’s share of hash rate will decrease, while f2pool and pool will lead. The emergence of the crypto trading pool in the second half of this year has once again changed the rules of the game. Since the emergence of bitcoin pool, this pool has obtained a considerable number of bitcoin mining hash rates. Binance pool recently made the top three with a hash rate of 12%. Huanipool is currently seventh, with hashrate share over 8%. Sichuan, the mining capital of bitcoin mining, seems to be more friendly this year than the bitcoin mining policy. Due to the construction of a large number of qualified coal mines in the hydropower consumption demonstration area in Sichuan Province, the local government calls for excessive consumption of water and electricity in the rainy season, and there may be surplus supply of machine slots in the mines in the region next year.