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Bitcoin Miners Pull Back: Hashrate Drops To 3-Month Low
On-chain data shows the Bitcoin mining Hashrate has declined to its lowest level since October as miners continue to decommission farms.
7-Day Average Bitcoin Mining Hashrate Has Declined RecentlyThe Bitcoin “Hashrate” refers to an indicator that keeps track of the total amount of computing power that the miners as a whole have attached to the blockchain. This metric may be used as a proxy for the behavior of the network validators.
When the value of the Hashrate goes up, it means new miners are joining the chain and/or old ones are expanding their facilities. Such a trend implies BTC mining is looking attractive to these validators.
On the other hand, the indicator observing a decline suggests some of the miners have decided to disconnect their rigs from the network, potentially because they are finding the cryptocurrency to be unprofitable.
Now, here is a chart from Blockchain.com that shows the trend in the 7-day average value of the Bitcoin Hashrate over the past year:
As displayed in the above graph, the 7-day average Bitcoin Hashrate set a new all-time high (ATH) around 1,151 exahashes per second (EH/s) back in October. Since this record, however, the indicator’s value has gone down.
What’s behind this trend? The answer to that question could lie in the miner revenue. Miners earn their income through two means: block subsidy and transaction fees. Out of these, the former contributes the largest portion to their revenue.
Block subsidy remains fixed in terms of BTC value (outside of Halving events, during which they permanently get slashed in half), but its USD value changes alongside the cryptocurrency’s price. Thus, miner revenue is more-or-less dependent on the asset’s price action.
Back in October, Bitcoin rallied to a new ATH, so miners responded by upgrading their facilities. When the bullish price action didn’t continue, however, the cohort started pulling back. As a result, the 7-day average Hashrate has fallen to around 998 EH/s, its lowest level in more than three months.
Interestingly, the latest continuation of the decline in the indicator has come despite the fact that the cryptocurrency has made some recovery recently. This may be a possible sign that miners aren’t yet convinced by a return of bullish momentum.
A potential consequence of the Hashrate decline may be a drop in the Bitcoin mining Difficulty during the next network adjustment. According to data from CoinWarz, miners have taken an average of 10.6 minutes per block since the last adjustment, which is notably slower than the blockchain’s target of 10 minutes.
To correct for this, Bitcoin could be forced to decrease its Difficulty by 5.6% in the next biweekly adjustment. However, something to note is that there is still about a week to go until this event, so the network’s response could change depending on how the Hashrate behaves in the coming days.
BTC PriceAt the time of writing, Bitcoin is floating around $95,500, up more than 5% over the last seven days.
South Korea Advances Tokenized Securities Framework Amid Crypto Regulation Push
As South Korea intensifies its push for crypto regulation, lawmakers have advanced a bill to establish a legal framework for issuing and trading security token offerings (STOs) using distributed ledger technology (DLT).
Lawmakers Amend Framework For Tokenized SecuritiesOn Thursday, South Korea’s National Assembly passed key amendments to the Capital Markets Act and the Electronic Securities Act, creating a legal framework for the issuance and distribution of tokenized securities.
According to an official government release, the revised rules define tokenized securities as a broad category that extends to both debt and equity products, and recognize them as legitimate financial instruments.
The amendments to the Electronic Securities Act will allow qualified issuers to launch tokenized securities using distributed ledger technology. Meanwhile, the Capital Markets Act changes will enable the products to be traded as investment contract securities on brokerages and other licensed intermediaries.
Notably, the existing Capital Markets Act prohibited the distribution through securities firms, deeming investment contract securities “unsuitable for distribution due to their non-standard characteristics.”
The changes are “expected to enhance accessibility to investments and improve the provision of investment information for these securities,” the official government release stated.
After legislative approval, the bill will be submitted to the State Council, followed by official presidential promulgation. Therefore, the legislation is expected to be enacted one year after being signed into law, tentatively in January 2027.
Moreover, the Financial Services Commission (FSC) is set to lead the implementation, forming a joint “Token Securities Council” with relevant agencies to ensure seamless preparatory work, including the development of supporting infrastructure and enhanced safeguards.
The consultation body will comprise the FSC, the Financial Supervisory Service, the Korea Securities Depository, the Financial Investment Association, industry participants, and experts.
South Korea’s Crypto Regulatory Push ContinuesThis major step follows South Korea’s efforts to develop and establish clear, comprehensive rules to regulate the local crypto industry. Last week, the government shared its 2026 Economic Growth Strategy, which included a plan to open its market to Bitcoin (BTC) Exchange-Traded Funds (ETFs) this year.
Crypto-based ETFs have been banned in South Korea since 2017. In 2024, the country’s regulator reaffirmed its stance after the US Securities and Exchange Commission (SEC) approved the investment products. However, it has now cited the success of the US and Hong Kong’s crypto funds as a key factor for their shift.
The FSC will also accelerate the next phase of its digital asset legislation this quarter to establish a clear regulatory framework for stablecoins. As reported by Bitcoinist, South Korea’s Second Phase of the Virtual Asset User Protection Act was delayed until the start of 2026 due to an ongoing disagreement between the FSC and the Bank of Korea (BOK).
The financial authorities have been clashing for months over rules related to the issuance and distribution of stablecoins, disagreeing on the extent of banks’ role in the issuance of won-pegged tokens.
Nonetheless, the main policies of the crypto framework have been decided, set to include investor protection measures, such as no-fault liability for crypto asset operators and isolation of bankruptcy risks for stablecoin issuers.
Moreover, the country is lifting its long-standing ban on institutional crypto trading, which is anticipated to begin later this year. According to local reports, the FSC is considering a rule to limit corporate cryptocurrency investments at 5% of a company’s equity capital.
Under the latest proposal, eligible firms would be able to allocate up to 5% of equity capital per year to digital assets, limited to the top 20 cryptocurrencies by market capitalization. The final draft version could be released as early as January or February.
