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Executives from China’s Largest Bitcoin Mining Firms Speak About Regulatory Crackdown

Executives from China’s Largest Bitcoin Mining Firms Speak About Regulatory Crackdown

Digital currency has become a hot topic in the industry, taking the form of bitcoin and similar currencies. Bitcoin, the best known of the digital currencies, has been a topic of interest for some time. Although it is a popular topic, the underlying technology that makes bitcoin a success is not fully understood by many. This is because bitcoin is a decentralized digital currency that does not have a central bank, according to the white paper written by Satoshi Nakamoto, the founder of bitcoin.

In a bid to tighten regulatory control on Bitcoin mining, China’s largest Bitcoin mining firms have moved to register their companies with the local governments of the regions in which they operate. They also plan to open their offices in other cities as well. Although they do not reveal their identities, the executives and their companies claim to have raised as much as US$30 million from other local investors.

The Chinese government has been trying to regulate Bitcoin since early 2014. On a number of occasions it has either shut down or confiscated the b…. Read more about bitcoin mining calculator and let us know what you think.

Executives from China’s Largest Bitcoin Mining Firms Speak About Regulatory Crackdown Over the course of the week, the cryptocurrency community’s attention has shifted to China and the country’s Financial Stability Board, which has said it wants to tighten controls on the bitcoin mining industry. Following the statements of Chinese officials and the withdrawal of several cryptocurrency companies from their services in the region, executives from some of China’s largest bitcoin mining companies have spoken openly about the situation.

Managing director of Btc.top: If China restricts cryptocurrency mining, large Chinese manufacturers will start selling overseas

The million dollar question now is whether the Chinese government will continue to pursue the cryptocurrency industry. It all started when Reuters, at 18. May issued a report saying: China bans financial and payment institutions from trading in cryptocurrencies. Indeed, the news portal reports that three Chinese financial industry associations have asked financial institutions and payment processors not to offer cryptocurrency-related services. The services include account opening, registration, trading, clearing, settlement and insurance, repeating the 2017 ban, Reuters reported with details the next day. Then, five days ago, regional reports on the 51st. The meeting of the Central Commission for Finance and Economic Affairs of China was reported. The director of the organization, Liu He, spoke about the bitcoin mining industry. Again, the Economic Commission and the Financial Stability Board have said they will crack down on illegal bitcoin mining and keep an eye on the sector. After the business meeting and Liu He’s statements, Btc.top CEO Jiang Juoer spoke about the situation. According to the minutes of China’s Financial Stability Board. We systematically prevent and control financial risks…. will crack down on bitcoin mining and crypto-currency trading activities to prevent individual risks from spreading to the corporate level, Jooer said. From there, we see that the basic idea of the meeting is to prevent and control financial risks, to curb the flow of social capital into the cryptocurrency sector, which can lead to a transfer of risks from individuals to society as a whole, Jooer added. In other words: Individual mining has always been allowed, as long as you are responsible for your risks and profits, whereas mining with capital can be [forbidden]. Jooer also compared this year’s minutes to what was said when the minutes were announced in 2013, which Jooer said was repetitive. The CEO of Btc.top spoke on the 4th. September 2017, the day the world saw China ban initial coin offerings (ICOs) and then shut down domestic cryptocurrency exchanges. As for Chinese bitcoin miners, Zhuoer says that while the recommendations involve some losses, they may not be as severe as many think. Large [data centers] and major experienced miners could suffer significant losses this time around, while the Bitcoin network as a whole will be more resilient than ever, Jooer said. Worst case scenario, the big data centers close and we’re back to where we were in 2014-15. Small miners put a few miners in their homes; medium miners put dozens of miners in a warehouse or several hundred miners in a factory; experienced miners find a small remote hydroelectric plant and put a few thousand miners there. The Btc.top executive added: In summary, bitcoin mining will continue as usual, with the exception that mining in China will shift from industrial data centers to small and medium-sized home miners. The entire Bitcoin network will still be strong, even [if] the hash rate [drops by 50%].

Ebang, Canaan and Innosilicon executives discuss alternative strategies and international expansion

In addition to the CEO of Btc.top, executives from several other Chinese mining companies and plant manufacturers have spoken out about the alleged crackdown. Reuters reported on 26. But Chinese ASIC manufacturers are now looking elsewhere for growth opportunities. Alex Ao, vice president of Innosilicon Technology, said foreign miners will benefit. Places like North America and Central Asia have advantages in terms of energy supply and political support, says Ao. In a separate statement, Hangzhou-based Ebang International said domestic customers will go abroad for promotion. Mining equipment will remain scarce, an Ebang spokesman added. Edward Lu, senior vice president of Canaan Inc, added his views on the situation in China. The strategy should be to aggressively tap into markets such as Kazakhstan, Canada and northern Europe, where energy resources are abundant and cheap and regulations are clear and predictable, Lu said. Meanwhile, Shenzhen-based Bit Mining announced plans this week to build a 100MW bitcoin mining data center in Kazakhstan. Bit Mining, formerly known as 500.com, owns Btc.com and the mining company Bee Computing. Like Bit Mining, Bitc.com and Bee Computing are also based in China and may be subject to stricter regulation. Sichuan’s energy regulator also said this week that it would meet on the second day. June will meet to talk about bitcoin mining. The meeting is taking place at the request of China’s National Energy Administration, according to a regional report. What do you think of the comments made by Chinese mining equipment manufacturers and mining companies? Let us know what you think in the comments below.

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Alex Ao, bitcoin mining ban, mining, bitcoin, bitcoin farm, BTC.com, BTC.TOP, Hanaan, China, Chinese ban, Chinese bitcoin miners, crypto-currency mining, data center, Ebang, Edward Lu, Innosilicon, Jiang Juoer, Kazakhstan, mining, mining equipment Photo credit: Shutterstock, Pixabay, Wiki Commons Denial: This article is for information only. It is not a direct offer or invitation to buy or sell, nor is it a recommendation or endorsement of any goods, services or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author shall be liable, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services referred to in this article.Several Chinese Bitcoin mining firms have been accused of fraudulent activities and illegal mining operations, and at least some of these have announced their company’s exit from the industry. These include major players like Bitmain Technologies and Canaan Creative’s subsidiaries. Bitmain, for example, claims it has closed all its Bitcoin mining operations as of the end of December, while Canaan Creative has disclosed it will be winding down its operations and returning the equipment to the company.. Read more about china will likely ban all bitcoin and let us know what you think.

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