The Chinese Communist Party (CCP) will be celebrating its 100th anniversary a few days from today. To commemorate the historic day, the Chinese state would prefer to keep the atmosphere clean. This decision would see the halt of operations in various industries that are believed to contribute to environmental pollution including crypto mining.
Although this assumption isn’t validated yet from official sources, Kevin Zhang of Foundry Services, said that the region is specifically shutting down mining operations. According to him, Yunnan authorities are cutting off electrical power connections to the mining sites. Zhang admits to knowing some of the miners personally but chose not to disclose their identity.
Aside from cryptocurrency mines, other industries like coal mining and steel production have been held down. Since the celebration is centennial, measures for it is progress would be strict. However, opinions from cryptocurrency enthusiasts are strengthening the speculation that the state would flush out crypto mines from there.
In May the State Council’s Financial Stability and Development Committee declared that it would be pruning the presence of crypto mining within its jurisdictions. Similarly, the bans have spread to other regions like Xinjiang and Inner Mongolia.
China Intensifies Crypto Crackdown
The Chinese government isn’t giving crypto miners any breathing space. The circumstances surrounding the ban are connected to the environmental challenges its mining poses and the desire for China to avert it. China holds the 14th position as the worst country in terms of air quality.
Although the crackdown which has sent Bitcoin miners on an exodus to Texas and other accommodating locations are impacting the value of Bitcoin negatively, crypto analysts are welcoming the development.
Bitcoin’s hashrate is dropping owing to the ban. Since the miners are migrating to diverse locations, repeat occurrences of the centrality of mining in one location would no longer happen.