Sichuan district officials in China called on cryptocurrency mining businesses in the country to immediately terminate operations.
According to local news outlets in China, officials from the country’s Sichuan region called on all cryptocurrency mining businesses within the boundaries of the region to quickly terminate the activities within a regular basis.
Sichuan is an important region for Bitcoin mining. It is stated that around 10 percent of Bitcoin mining activity worldwide is carried out in Sichuan. Other major mining companies, especially Bitmain, have branches in the region. Known for its cool climate, Sichuan is a place rich in cheap electricity that the mining industry is looking for.
Mining activity has often been the subject of controversy in Sichuan. The region was constantly brought to the agenda with strict measures against miners. For example, in late December, the management of Garze Tibet Autonomous Province of Sichuan requested that the region be cleared from the mining sector.
Sichuan’s stance against Bitcoin mining will not affect other regions, as it can be implemented at the regional level. However, it is not a guarantee that other regions in the country will not follow Sichuan. It cannot be said that the federal government is pro-Bitcoin.
According to the latest data, more than 60 percent of Bitcoin mining activity is done in China. More than half of this is 35.76 percent, within the borders of the Sincan Uygur Autonomous Region. Sichuan was followed by 9.66 percent. Other important regions can be listed as Inner Mongolia, Yunnan, Beijing and Zhejiang.