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Chinese crackdown on Bitcoin mining continues

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Yunnan provincial authorities have issued a notice ordering an investigation into the illegal use of electric power by individuals and companies involved in bitcoin mining.

Yunnan province is the latest to join the country’s crackdown on the practice.

The Yunnan Energy Bureau said it was cutting off the power supply for anyone who illegally uses electricity to mine bitcoin.

Also Read: Jack Dorsey Considering Creating a Bitcoin Wallet

Authorities are also shutting down bitcoin mining operations that may pose a safety risk in connection with their use of electricity.

Yunnan, which ranks fourth in China in terms of Bitcoin hashing – a measure of the network’s computational strength – has promised to shut down any company that violates the new rules by the end of June.

Yunnan is the latest to join China’s crackdown on Bitcoin mining. Inner Mongolia, Xinjiang and Qinghai have also issued notices to close part or all of their mining companies in their regions.

Also Read: El Salvador Wants to Adopt Bitcoin as Legal Currency

The provincial industry and information technology authorities in Qinghai have ordered the closure of bitcoin mining places. It also banned companies such as data centers, industrial parks, and power plants from supplying land and power to crypto-related projects.

The notice was issued after Chinese President Xi Jinping’s visit to the province, where he stressed the importance of environmental protection.

Inner Mongolia, which is rich in fossil fuels, began expelling miners in February and shut down 35 bitcoin mining companies by the end of April.

Read also: Bitcoin’s value has quadrupled this year

China fights against Bitcoin mining:

Officials in Sichuan province, which relies on hydropower, held a meeting on bitcoin mining earlier this month, but did not reach any conclusions about possible policy changes.

Yunnan, which also relies on clean energy, is the second largest hydropower producing province in China.

Yunnan’s move comes amid Beijing’s ongoing crackdown on bitcoin and crypto mining.

The State Council’s Financial Stability and Development Commission targeted mining enterprises for the first time last month. She said she is working to crack down on mining. It prevents the transfer of individual risks to society.

China accounts for 65 percent of the global Bitcoin hash rate, according to the Cambridge Bitcoin Electricity Consumption Index CBECI.

Also Read: Norton 360 Lets You Mine Ethereum Cryptocurrency

Xinjiang alone accounts for nearly 36 percent of that, while Sichuan and Inner Mongolia rank second and third, respectively.

In addition, Yunnan ranks fourth, accounting for 5.42 percent of the global retail rate.

Bitcoin mining uses about 111.5 TWh annually, more than the total annual energy used by the Netherlands.

The massive consumption of cryptocurrency mining runs counter to China’s pledge to reduce carbon dioxide emissions by 2030 and then achieve carbon neutrality by 2060.

Also Read: Iran Bans Cryptocurrency Mining For Four Months

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