Hassan Maishera
China’s Anhui province shuts down cryptocurrency mining
The Chinese government has continued its war against cryptocurrencies by shutting down mining activities in the Anhui region.
Anhui Province shuts down crypto mining activities
The Anhui province in China has become the latest region to ban cryptocurrency mining activities. The authorities made the decision earlier today to suspend cryptocurrency mining activities in the region.
Local news agency Hefei Online reported that the decision was made to ensure that there is no shortage of electricity in the eastern China region for the next three years. The authorities said they are dealing with massive demand for power in recent years and need to take the measures to ensure there is no shortage of power due to cryptocurrency mining.
As part of its measures, the Anhui government will shut down crypto mining projects in the region and scrutinize new initiatives that require large amounts of energy consumption. The authorities also plan to build data centers and promote the reform of electricity prices to boost energy usage in the region.
Anhui is currently the eighth-largest province in China and was previously considered to be amongst the poorest regions in the country. The province is powered by coal-based power plants and hydropower facilities in addition to solar and wind-based plants.
This latest development comes weeks after the Sichuan province shut down cryptocurrency mining activities in its region. At the time, the Sichuan authorities cracked down on 26 crypto mining farms and other small miners.
However, some Chinese miners are already relocating to more favorable regions. Kazakhstan has become the most preferred destination for Chinese cryptocurrency mining. Russia is also turning out to be a good location for them.
The Mayor of Miami invited displaced cryptocurrency miners from China to move to the United States. North America is now making moves to displace China and become the leader in the cryptocurrency space. Previously, China controlled 65% of Bitcoin’s mining hashrate. However, with the recent bans, it is uncertain if China can hold on to that percentage for long.
