China had recently faced a coal crisis, which led them to shut down all the bitcoin mining operations. There is a piece of trending news that banned bitcoin miners were using China’s state resources to carry on with the bitcoin mining operations. This occurred in between a severe power shortage when the country was fiercely trying to shut down all bitcoin mining operations. Recently a report had been published on Bloomberg, the high positioned authorities of Zhejiang and Jiangsu provinces had done an investigation regarding the bitcoin mining operations that were found using state-owned resources. As reported:
“Jiangsu found about one-fifth of some 4,500 internet protocol addresses associated with illegal mining activity belonged to public institutions, according to the media outlet The paper, (…) some 260,000 kilowatt-hours of electricity were being used per day.”
The high authorities were able to locate them by tracing their IP addresses through mining the pool data that was paired with the company’s accounts. China’s various reasons to reject bitcoin mining caused the risks of fraudulent bitcoin mining and alleged bitcoin energy consumptions created a huge impact on the environment. In this situation, solving the problem with raids and crackdown of an entire industry may lead to even greater problems.
The Ban’s Impact On The Chinese People
The Chinese BTC mining industry represents the biggest bitcoin production in the world. Chinese industries were mining up to a near estimate of 65% to 75% of the globe’s bitcoin mining, this was up until the prohibition of all related activities done by the Chinese government. China’s ban on bitcoin mining has led to victory for the U.S Bitcoin mining industry. The Chinese people have received a huge disappointment, especially those who were dependent on it due to the ban of all BTC mining operations.
The shutdown of such a big industry has not only left an impact on the number of carbon dioxide emissions but also made a loss for all the human factors, who were depending on the BTC mining operations. There is news spread over that many Chinese BTC miners are migrating to the U.S and other countries where they can find cheap electricity and have kinder laws on BTC mining.
