cryptocurrency

China still plays a big role in cryptocurrency mining

Despite what appears to be an ongoing hatred of Bitcoin and endless attempts to extricate itself from the world’s number one digital currency by market cap, China It still occupies a fairly strong position in the crypto market.

China still hosts a lot of mining

A little over a year ago, China shocked the world by announcing that it would end all Bitcoin mining and crypto within its borders and declared the process of mining units from the blockchain illegal. The orders came from Beijing, the nation’s capital, and regulators said this was all part of an effort to make China more carbon-neutral and end pollution.

Many people reacted negatively to the news. China at that point was home to about 60-70 percent of the world’s crypto-mining companies, but now it seemed like from one night to the next, they would all have to either shut down or move to other countries that they had not seen or understood before just to keep to continue their work. It didn’t seem fair, and above all, it wasn’t justified.

However, from there, things took an even uglier turn when China announced that it would also end crypto trading practices within its borders, and that people would no longer be able to buy, sell, trade or even hold assets like bitcoin anymore. The entire industry has been banned, and those caught practicing within its borders will face imprisonment or financial penalties.

With all this in mind, it appears that China has finally ended any crypto activity on its soil, but this is not entirely true, and a new report indicates that China still accounts for about 20 percent of the total bitcoin hash rate in the world, which means that many Miners in China refused to leave and are still continuing their operations without fail.

Many refuse to leave

The hash rate determines the number of computers that contribute to the network. When one considers the fact that 20 percent is up to a fifth, China still holds a dominant position in the world of cryptocurrency and bitcoin mining. However, over the past 14 to 15 months, it has lost its first position in regions such as Kazakhstan and Texas, as many crypto miners who contributed to the mass migration to China have made their way to these regions to take advantage of various economic opportunities and cheap electricity. they present.

But what can be said about the miners in China who refused to leave? What about all the miners who stayed despite the potential for legal consequences in the future? Are they brave or fools? Are they so committed to the bitcoin dream or are they simply committed to showing that no one is telling them what to do? Well… it might be a combination of everything.

Tags: bitcoin, china, cryptocurrency mining

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