A small Chinese province was coerced to close down illegal bitcoin mining activities in the respective region before August 2018. This is In accordance with Chinese government currently busting all the crypto related operations.
Current Mining Scenario
As per latest reports, the problem is in the northwestern part of Xinjiang Uyghur region in China. Many illegal mining processes have been spotted right in the bed of cool mountainous landscape.
Xinjiang holds a creamy base, when it comes to agro-industries, along with favorable climate and affordable electricity rates as well. This seems to have lured in a lot of mining concerns.
The Chinese government wants to boost the economy of Xinjiang by forcing metro cities like Beijing and Shanghai. But it prohibits small-scale miners to do the same.
The reports further state about a leaked official notice issued by Xinjiang’s Economic and Information Commission (EIC). This government notice came out to the light, in a local forum on July 21, 2018. The authority wasn’t entirely happy with the significant amount of electricity consumed by mining companies. Therefore, they passed down a demand to local utility suppliers to immediately shut down illegal ventures.
The notice points out and talks down about the illegal cryptocurrency miners, in further. It refers to these ventures as private entities, for causing unnecessary consumption of electricity without holding any usage permits.
Utility Firms Charged Penalty
The EIC has called out for local utility firms, in line with busting illegal mining ventures. They’ve asked the utility departments to discreetly uncover the unlicensed firms within a short span of time. Accordingly, all reports concerning this undertaking must be forwarded to the EIC before the end of this month.
The EIC also goes further to hold the local authorities, liable for incompetence, who fails to shut down these illegal mining operations.
However, you should note that the Commission propelled a fair warning since Jan’18, before enacting this serious busting operation. Earlier, Xinjiang authorities dismissed, such businesses diplomatically after regular bitcoin mining operation follow-ups.
The diplomacy was thrown out of the window when the EIC called out all the mining ventures. It even exclaimed that these operations weren’t contributing to the country’s economy in any way. Besides, they only shell out massive amounts of electricity consumption.
