Chinese Xinjiang with large amounts of fossil resources requires Bitcoin miners to shut down their operations
According to announcements from local news sites like Blockbeats, China’s Xinjiang region is embargoing cryptocurrency miners. Accordingly, the government requires mining companies to stop operating before 2 pm (local time) today, June 9, to rectify.
#Xinjiang, China requires miners to close the mining machine before 14:00 on June 9th, we can pay attention to the @hashrateindex. ??
⬇https://t.co/PklYusVozR pic.twitter.com/1AuF3rKxY7
— BlockBeats (@BlockBeatsChina) June 9, 2021
Chinese Xinjiang with large amounts of fossil resources requires Bitcoin miners to shut down their operations
Xinjiang is often referred to as China’s “strategic energy region” because of its vast amount of resources such as natural gas, coal, and other fossil resources. Now, with the above decision, the Bitcoin hashrate is likely to drop after miners in this area shut down.
The ban was issued by the Changji Provincial Development and Reform Commission. When suspending mining work, miners must report this to the commission.
China crypto influencer and founder of Primitive Ventures, Dovey Wan, tweeted that Xinjiang is now following Inner Mongolia’s example in shutting down the Bitcoin mining market.
She calls Sichuan province the “last hope” for miners in China right now. She now expects the Chinese authorities to start taking action against crypto trading, including the OTC market, and believes this mining ban should be priced in.
Earlier, Chinese President Xi Jinping announced that starting from 2026, China will begin to stop energy-intensive projects to reduce the carbon emissions generated by its industries.
Cryptocurrency mining is one of the projects being held back, which is causing some miners to leave China for other jurisdictions with friendlier laws and cheaper, cleaner energy sources.
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