• China has taken over 90 percent of crypto mining farms since 2020.
• The China government advances with developing the Yuancoin.
While decentralized currencies are accepted in various countries of the world, it seems China’s regulatory policies will continue to remain in place and eve was stronger, especially with crypto mining. The national authority clarified that its stance towards crypto-mining has not changed, so it is still prohibited.
Since Tuesday, as reported by local media, a technology agency in Hebei, a province in China, has been working with regulators to expose offenders. The agency will search everywhere for possible crypto mining farms that operate in the country’s interior.
Regulations against crypto mining return to Chinese provinces
Since last year, long before the Bitcoin price hit its all-time high, the Chinese government has sought to ban the crypto market. The authorities regulated decentralized trading platforms, and then they were destroying every farm dedicated to crypto mining. The bans began with Beijing, the capital city, and then spread to remote provinces of China, such as Hebei.
The security and technology agency within the province in China must inform regulators at the end of the month that no crypto-mining farms operate. These agents have a great job to solve because they have to look at which areas consume the most energy because a BTC farm may be located there.
According to regulators in China, crypto mining is dangerous because it consumes a lot of energy. The authority also supports their actions by saying that the cryptocurrencies mining affects the “0 Carbon” plan they want to complete in 2021.
Crypto miners seek a new country to work in
Crypto mining in China has had tough weeks as regulators have tried to shut down farms without concrete vision. Due to these regulatory operations, the Bitcoin price dropped in May, losing over 50 percent of its capital.
The companies dedicated to this cryptocurrency mining work in China have had to close their doors and sell the machines to avoid losing a lot of money on the investment. However, other crypto-mining companies moved their operations to other countries in Asia.
The most famous crypto mining companies in China such as Houbi, HashCow, and BTC.TOP was the first to disappear after the announcement by regulators in May. Other exchanges offering various crypto services within the country also had to cease operations because of the crackdowns.
There are practically no crypto-mining farms in China, allowing the popular government to experiment with the virtual market. Everything indicates that the regulators achieved their mission of running to the competition to tackle the crypto ecosystem under their own rules. In June, the China government announced that it would launch the YuanCoin, a stablecoin backed by blockchain technology.