China’s stance towards cryptocurrency mining is getting tougher. More Chinese provinces ban cryptocurrency mining.
Chinese provinces stand against cryptocurrency mining
Authorities in China’s northwestern province of Qinghai and a district from neighboring Xinjiang have decided to cancel cryptocurrency mining projects as Beijing enacts its call to crash the industry.
In China, which accounts for more than half of the global Bitcoin production, miners began to move from the provinces where the ban was started to other regions. “We stand at a turning point for the mining industry in Asia,” said Lei Tong, Managing Director of Financial Services at Hong Kong-based Babel Finance.
Many miners are now seriously re-evaluating their future operational plans, as the current regulatory environment is unfavorable for their growth and business scaling, Tong said.
Crypto miners who create projects that claim to operate big data and supercomputing centers will be penalized, and companies will be banned from providing space or power to mining operations.