View article

Although the attitudes of governments and the general public on virtual currencies vary greatly, the prices of virtual currencies have grown at an extremely exaggerated rate since 2016, attracting more and more investors and media attention. Not only that, while virtual currency prices have increased, mining has turned into a profitable business, and many people have purchased miners to invest in the mining industry. This article examines the stability of the two time series of bitcoin’s price and miner’s hashrate from 2016 to the present. Research shows that price changes are the Granger cause of changes in hashrate. By establishing a distributed lag model, the quantitative relationship between hashrate and price is analyzed. Combined with the follow-up investigation of the miner’s market, it discovered the pricing strategy of the miner’s market, that is, the current miner’s price is determined by the price of …