Chinese Region Tackles Mining and Bitcoin

Chinese Region Tackles Mining and Bitcoin

The price of bitcoin rose on Monday even though the Chinese region of Inner Mongolia had indicated that it would tackle the so-called mining of the cryptocurrency.


The autonomous region is loved by companies that use large data centres to do the calculations with which new bitcoins are added because of its cheap energy and plenty of space. In order to meet the Chinese government’s plans to reduce energy consumption, Inner Mongolia is now tackling bitcoin miners.

China already made the first plans in 2018 to curb the mining of crypto coins. So Inner Mongolia was particularly popular, where about 8 percent of all computing power worldwide was devoted to that activity.

That popularity also resulted in much more energy consumption, and that must now change. According to the government of the region, the growth in energy consumption may only be 1.9 percent more this year after criticism from Beijing.

For bitcoin fans, the discouragement policies in the Chinese region are fueling uncertainty. About two-thirds of all computers that are purely engaged in mining bitcoins are in China. Despite that uncertainty, the price of bitcoin rose steadily. Since Monday morning, a bitcoin’s value has increased from around $ 46,000 to above $ 48,000.

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