Main Points：
- Bitcoin’s 7-day moving average hashrate has surpassed 1 Zettahash per second (ZH/s) for the first time.
- This milestone follows earlier intraday highs earlier in 2025 but marks sustained achievement.
- A difficulty adjustment exceeding 7% is expected in the coming days—the second-largest of 2025.
- The current mining difficulty is projected to rise to around 138.96 trillion (T).
- Miners’ profitability is under pressure: fee revenue share is exceptionally low and hashprice (revenue per PH/s) remains depressed.
- Industrial-scale operations and ASIC efficiency continue driving security, but solo mining becomes less viable.
- Some major mining firms are shifting to treasury retention strategies, holding mined BTC instead of selling.
- Tariff policies and rising operational costs threaten hardware costs and margins.
1. Breaking the 1 Zettahash Barrier
Bitcoin’s network has achieved a historic milestone: for the first time, its seven-day average hashrate exceeded 1 Zettahash per second (1 ZH/s). While the network had briefly touched this level earlier in 2025, this marks the first sustained crossing of that threshold in the longer-term moving average. One zettahash equals 1,000 exahashes (EH/s); the network’s computational power has climbed from around 800 EH/s at the start of 2025 to above 1 ZH/s today.
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2. What Is Hashrate and Why Does It Matter?
Hashrate measures how many cryptographic hash attempts miners make per second to secure the network. A higher hashrate implies greater security and resistance to attacks, such as the risk of 51% attacks. The seven-day moving average smooths daily fluctuations for a more accurate representation of long-term trends.
3. Impending Difficulty Adjustment: A Strong Upward Move
Bitcoin’s protocol adjusts mining difficulty approximately every two weeks (every 2,016 blocks) to maintain a block time near 10 minutes. With the surge in hashrate, the upcoming difficulty recalibration is expected to be over 7%, elevating difficulty to about 138.96 trillion—the second-largest increase seen in 2025.
4. Miner Profits Under Increasing Pressure
Mining profitability continues to shrink. Transaction fees now account for less than 1% of total miner revenue, the lowest level on record. “Hashprice,” the revenue per PH/s per day, has fallen to low levels—estimates range from around $40 to $60 per PH/s per day. Rising difficulty and falling fee share are squeezing margins even as computational power increases.
5. Industrial Scale Operations Rising, Solo Mining Diminished
Advanced ASIC miners—like Antminer S21 and WhatsMiner M60S—are now essential to compete effectively. Optimized infrastructure and lower energy costs at industrial facilities solidify their dominance, making solo mining increasingly impractical.
6. Shifting Strategies: From Selling to Holding BTC
Some large miners are adapting by pivoting their strategy. For example, MARA has reportedly held on to all BTC produced in May, growing its treasury to nearly 49,179 BTC—becoming one of the largest institutional holders. CleanSpark is also expanding production using renewable energy, adding 694 BTC mined in May to a treasury of 12,502 BTC.
7. External Challenges: Tariffs and Equipment Costs
Import tariffs have begun raising the cost of mining hardware. The U.S. has implemented tariffs ranging from 24% to 36% on mining machinery from Southeast Asia, including Malaysia, Thailand, and Indonesia. Additionally, tariffs on equipment from China are also impacting firms; some—like CleanSpark—face potential liabilities up to $185 million, and Iris Energy similarly contends with large customs disputes.
8. What This Means in Summary
- Network Security: The leap past 1 ZH/s reinforces Bitcoin’s security and mining intensity.
- Difficulty Surge: The upcoming ~7% difficulty uptick will heighten competition and energy demands.
- Profit Squeeze: Falling fee share and hashprice stress miner economics, especially for smaller operations.
- Competitive Landscape: Industrial-scale miners with efficient ASICs dominate; solo mining becomes less viable.
- Strategic Pivot: Major miners lean into holding BTC instead of selling immediately, capitalizing on long-term value.
- Policy Risks: Tariff pressures may slow hardware upgrades and raise entry costs for emerging miners.
Conclusion
The achievement of a sustained 1 Zettahash per second hashrate marks a pivotal moment in Bitcoin’s evolution. While it highlights the expanding scale and security of the network, it also foreshadows intensified mining difficulty and slimmer margins for miners. While successful operators are scaling up infrastructure, enhancing efficiency, and shifting toward treasury accumulation, rising operational costs and tariff-induced hurdles pose fresh challenges. For anyone exploring new digital assets or practical blockchain applications, staying aligned with these trends—especially around mining efficiency, capital strategy, and infrastructure resilience—will be crucial.
