Crypto Mining in Another Chinese Province Ceases

Another Chinese province has clamped down on crypto mining. This time, authorities in China’s Yunnan province are looking into illegal electricity use by Bitcoin miners.

Yunnan province is China’s fourth-largest crypto mining province. The province joins other top mining provinces like Inner Mongolia, Xinjiang, and Qinghai as the country pushes to clamp down on crypto mining.

Yunnan’s Energy Bureau warned that it would cut off the power supply to anyone illegally using electricity to mine Bitcoin.

In a joint statement, China’s National Internet Finance Association, the Banking Association, and the Payment and Clearing Association stated,

Recently, cryptocurrency prices have skyrocketed and plummeted, and speculative trading of cryptocurrency has rebounded, seriously infringing on the safety of people’s property and disrupting the normal economic and financial order.”

Also, reports have attributed the recent surge in mining bans to climate concerns. There has been a spike in electricity use and rising demand for coal in the Asian country. The usage surge has been linked to crypto mining, especially Bitcoin.

In fact, the Cambridge Bitcoin Electricity Consumption Index shows that China accounts for 65% of the BTC hash rate. As a result, previous province shutdowns negatively impacted the top crypto’s hash rate. In some reports, the hash rate fell by as much as 25% after the Xinjiang shut down.

Scrutiny over the flagship crypto’s energy use has been rising lately. In response, crypto-friendly countries like El Salvador are looking into green energy sources for Bitcoin mining. President Bukele is specifically looking into geothermal energy from volcanos.

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Source: https://coinquora.com/crypto-mining-in-another-chinese-province-ceases/