Anhui province suspends cryptocurrency mining
Authorities in Anhui have banned cryptocurrency mining activities in the province. The order was given today as the region takes certain measures to tackle growing electricity demand and an associated power supply shortage over the next few years.According to a report from local news agency Hefei Online, the authorities intend to shut down cryptocurrency mining projects and inspect new projects that require large amounts of energy. The province will also start building data centers and promote the reform of electricity prices to optimize energy usage in the region.
This latest development comes barely a month after the Sichuan province issued a similar ban. The Sichuan authorities cut off the power supply to 26 cryptocurrency mining farms and other smaller crypto miners. The move has affected Bitcoin’s hashrate as it has dropped significantly in recent weeks.
Crypto mining ban is a coordinated attack
There are certain reports that suggest that the crackdown on crypto mining activities in China is a coordinated attack. Chinese cryptocurrency journalist Colin Wu claims that China's State Grid Corporation issued a notice to various parts of the country, requesting the closure of all cryptocurrency mining facilities.Wu added that currently, the provinces with insufficient power in China, such as Henan and Anhui, have started implementing the requests.
The miners are relocating to other regions, with Kazakhstan the favorite for most of them. So far, BIT Mining and Canaan have set up cryptocurrency mining facilities in Kazakhstan and some have started operation.
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