Chinese Bitcoin Miners Pressured to Reduce Operations Due to Electricity Shortages

[kryptonick 2659]

They tighten the grip on small miners and household mining just to help the big miners and not allow any competition. These are the chinese regulations and I don't agree but they make the rules there. Perhaps the small miners should just apply to their government and play with their rules.

[BrolySSJ 7899]

The reduction in mining operation in china will have a major impact on the global bitcoin supply. If you look at the mining rigs that are across the world, if i am not mistaken i think that china has the largest crypto mining rig and therefore to a large extent they are also responsible for the new supply that comes into circulation with crypto. Therefore if there is a reduction in their mining capacities, cloud mining services will be reduced for users who have contracts, and the amount of new bitcoin will reduce. This will reduce supply. On the up side, the reduction in supply will likely to cause an increase in crypto prices. 

[scofield64 943]

Bitcoin mining requires huge amount of electricity. The reduction in bitcoin mining in China is caused by shortage of electricity. Electricity is the major item needed to carryout bitcoin mining. 

[Sarahden111 1231]

I do not think that it is justified, as China is one of the great powers, and it is a nuclear country, and therefore electricity production is from nuclear reactors in addition to other energy factories. Such operations have temporary effects because the majority will return to mining because of the profits from it, so I see if the authorities reached an agreement or a contract to supply electricity at a price higher than the normal price, then the matter will be fair to both parties.

 

Edited November 16, 2020 by Sarahden111

[Cryptomint 433]

Haha! Bitcoin is headache for everyone we can see that how the Bitcoin is consuming the electricity and many countries are against it.

[khan22 3478]

China is the top country where the Bitcoin is mine and also other crypto currencies. Crypto currency mining is the world best and great work in whihc we just invest one time money and make money in it.

[abohasnn9 2401]

My friend, it is not good. It is to reduce the mining ratios in mining farms in China. China has the half of mining farms in the world, and this is a good thing, but reducing work and the percentage of time in it is unfortunate. Electricity is a big problem around the world. Thank you

[joemcgwa 3227]

But there have something which I don't understanding what's going on, because Chinese are the country which are fighting against bitcoin, so why they are mining it also?

[cryptovlek 2597]

China alloes mining for cryptocurrencies, it doesn't allow stealing electricity to mine, this is what these miners were doing and were found had the equipment seized and probably arrested. I wouldn't try that anywhere as if caught stealing from governments it is like stealing from everyone.

[guatazoo 7150]

On 1/8/2021 at 11:20 AM, joemcgwa said:

But there have something which I don't understanding what's going on, because Chinese are the country which are fighting against bitcoin, so why they are mining it also?

While Chinese they have fighting against bitcoin, thats doesn't means they will not be using bitcoin, because there have so many countries which has restricted bitcoin but their citizens are still using it. 

[selfmade 7]

On 1/8/2021 at 11:20 AM, joemcgwa said:

But there have something which I don't understanding what's going on, because Chinese are the country which are fighting against bitcoin, so why they are mining it also?

It confuses me too but I think that they benefit as a government because those mining fields are tax paid plus those miners sells those coins to the rest of the world and not to fellow Chinese so it increases the economy of the country.

[Farukatie 1271]

Yes dear friend electricity is an essential part of mining and if we want to do mining we need a lot of electricity but when we come to China China is the best country in the world for mining in cryptocurrencies because it is a well-developed country and there is no issue of electricity in this country.

[Samotokika 1780]

On 12/31/2019 at 11:16 AM, Fatihgani12 said:

Bitcoin miners (BTC) in Sichuan province in China are reportedly under local authority to reduce their operations due to lack of electricity.

On December 29, the Asia Times reported that during the dry season, which expanded from October to April, power supplies dropped dramatically in Southwest China, which is why the local government tightened screws on mining companies to reduce their operations.

The mining company Bitcoin is officially banned but tolerated in Sichuan province during the rainy season when hydroelectric power plants produce more electricity than is needed, utilizing excess energy thanks to East Asian rain.

However, during the dry season, local authorities try to ensure adequate power supplies for local residents and businesses and therefore redirect their focus to regional Bitcoin farming, which uses excessive amounts of electricity to run their mining rigs.

The Chinese authorities are not only cracking down on BTC mining agriculture. They are also chasing power plants. Two power plants received fines of around $ 140,000 in December for providing electricity to Bitcoin miners without getting a power license.

China, whose BTC miners are currently responsible for 66% of the global hash rate, continues to struggle against the illegal use of energy by crypto miners.

In mid-November, regulators in the Inner Mongolia China Autonomous Region tightened their grip on the crypto mining company, sending an inspection unit to ensure the cleaning and repair of crypto mining companies in the region.

In December, Chinese authorities seized nearly 7,000 crypto mining machines, illegally consuming electricity. The seizure occurred as part of an inspection of more than 70,000 households, 3,061 traders, 1,470 communities, as well as factories, mines, yards and villages in the Kaiping District, Tangshan City.

What do you think, give your opinion about the reduction of Bitcoin mining operations due to lack of electricity?

Yes dude obviously electricity is much needed and the foremost requirement of mining without it it could not be possible so they should creat some their on electricity or find an alternative way without teasing the public. 

Edited January 15, 2021 by Samotokika

[guatazoo 7150]

On 1/8/2021 at 11:20 AM, joemcgwa said:

But there have something which I don't understanding what's going on, because Chinese are the country which are fighting against bitcoin, so why they are mining it also?

They might be fighting against bitcoin while they are still using it, so thats when says they are fighting against bitcoin, it means they are working harder to make their coin better than bitcoin in the crypto market.  

[joemcgwa 3227]

On 1/15/2021 at 10:02 PM, guatazoo said:

They might be fighting against bitcoin while they are still using it, so thats when says they are fighting against bitcoin, it means they are working harder to make their coin better than bitcoin in the crypto market.  

Of course maybe they are using bitcoin while they still fighting against it for making believe to their citizens thats bitcoin is nothing compared to their cryptocurrency, and due to Chinese country to have so many people, they have power to make a proof that bitcoin is nothing.

[joemcgwa 3227]

On 1/15/2021 at 6:10 PM, selfmade said:

It confuses me too but I think that they benefit as a government because those mining fields are tax paid plus those miners sells those coins to the rest of the world and not to fellow Chinese so it increases the economy of the country.

I don't think if China has integrated taxes to their citizens who are using bitcoin, but this is only done in South Korea, but maybe China benefited while their citizen are mined bitcoins, they are paying high cost of electricity.

4 hours ago, LoveYou2 said:

I do not think it is still a difficult problem because the huge mining farm has become dependent on solar energy, and through it the batteries of cars that give electricity in the event of a technical malfunction occur.

Lol! does largest mining farms also depending on car batteries energy power? that's very strange, so why there was not created the officials batteries which will be used as energy in largest mining farms.

[Quickbee 26]

I am sure that by now China has found a solution to the electricity problem they faced earlier. Large amount of electricity is required for mining. But the Chinese are the best miners. They cannot permanently shut down the Bitcoin mining industry.

[Jack764 1841]

When this field is fought by the state, things will become very difficult, but we will not give up on this field because it is the area that we wind and gave us many advantages. 

[Choudhary umer 0]

Yes my friend you said absolutely right in these days due to electricity shortage the Chinese said that the Bitcoin  to reduce but if you look in the market the price of the Bitcoin is stable in these days

[abdullah553 1981]

On 12/31/2019 at 8:16 AM, Fatihgani12 said:

Bitcoin miners (BTC) in Sichuan province in China are reportedly under local authority to reduce their operations due to lack of electricity.

On December 29, the Asia Times reported that during the dry season, which expanded from October to April, power supplies dropped dramatically in Southwest China, which is why the local government tightened screws on mining companies to reduce their operations.

The mining company Bitcoin is officially banned but tolerated in Sichuan province during the rainy season when hydroelectric power plants produce more electricity than is needed, utilizing excess energy thanks to East Asian rain.

However, during the dry season, local authorities try to ensure adequate power supplies for local residents and businesses and therefore redirect their focus to regional Bitcoin farming, which uses excessive amounts of electricity to run their mining rigs.

The Chinese authorities are not only cracking down on BTC mining agriculture. They are also chasing power plants. Two power plants received fines of around $ 140,000 in December for providing electricity to Bitcoin miners without getting a power license.

China, whose BTC miners are currently responsible for 66% of the global hash rate, continues to struggle against the illegal use of energy by crypto miners.

In mid-November, regulators in the Inner Mongolia China Autonomous Region tightened their grip on the crypto mining company, sending an inspection unit to ensure the cleaning and repair of crypto mining companies in the region.

In December, Chinese authorities seized nearly 7,000 crypto mining machines, illegally consuming electricity. The seizure occurred as part of an inspection of more than 70,000 households, 3,061 traders, 1,470 communities, as well as factories, mines, yards and villages in the Kaiping District, Tangshan City.

What do you think, give your opinion about the reduction of Bitcoin mining operations due to lack of electricity?

I really think that whoever wants to work in mining must secure the issue of electricity away from the country in which he lives through solar energy or generators in order to work independently

[Syriana 350]

Electricity is very necessary for mining, and I do not think that a large country like China cannot produce large quantities of electricity for miners in order to complete their work, so I think that it is speculating in the Chinese market on cryptocurrencies and the Chinese government can solve it, and I do not think that it will impose taxes on workers because of their inability On production

[chambers 58]

Well if these decisions by the chinese government solve their problems I think it's best for them, but ideally the government can set up mining camps to solve these power problems 

[Lokeloke 576]

On 1/8/2021 at 9:20 AM, joemcgwa said:

But there have something which I don't understanding what's going on, because Chinese are the country which are fighting against bitcoin, so why they are mining it also?

It's not the Chinese Government that are mining but their citizens, if you read the paragraph of the posters well you'll understand that the government are the one seizing the mining machine from the miners because they are consuming too much electricity

[joemcgwa 3227]

On 1/15/2021 at 6:15 PM, Emanuel 12 said:

This might really reduce the amount not Bitcoin mined in the  world as China is one the highest country with bitcoin mining and this might really decrease the production there by increasing the price of bitcoin.

China all they are doing is to make sure that's they are decreasing bitcoin by everything including the production of mining and the price of bitcoin also, all this is due to economic war against their coins and bitcoin.

[guatazoo 7150]

2 hours ago, joemcgwa said:

China all they are doing is to make sure that's they are decreasing bitcoin by everything including the production of mining and the price of bitcoin also, all this is due to economic war against their coins and bitcoin.

But the mistake that's they will do when they have destroyed the future of bitcoin is that many people will be feared to invest on other cryptocurrencies including Chinese cryptocurrencies if bitcoin has failed.