Hebei, a province of China, has become the latest Chinese province to have initiated crypto trading and mining shut down operations in the region. It has been told that several government agencies have been assigned the job of ensuring that the regional electricity is not consumed for the purposes of crypto mining because such an activity has been declared illegal by the Provincial Government.
Bitcoin was riding an unruly horse until the Chinese Government intervened with brutal force that Bitcoin lost most of its value. What the Chinese Government did was it went after the Bitcoin mining farms present in the region. The action of the Government was replicated by several Chinese provinces which made sure that Bitcoin mining farms were completely erased from within. Many of them were systematically evicted while the others were shut down permanently on one pretext or the other. Resultantly, since the past few months, Bitcoin has been trying to rebound and there have been some positive signs. It is once again gaining momentum and the price is surging on daily basis.
However, for Bitcoin to continue to go up, it is important that it does not get affected by anything. But the odds are not in favor of the lead crypto coin. China is once again making the point that there is no room for Bitcoin mining industry in the country. Now the latest province to initiate unwarranted enforcement against Bitcoin and other crypto mining farms is the Province of Hebei.
Hebei is one of the most overcrowded province of China Bitcoin mining farms were proactively operating. It was reported in the Chinese media that regional authorities of Hebei are actively involved in clamping down mining farms and crypto exchanges. The action has been initiated by a regional cyberspace regulator. The authority taking action was of the view that mining farms are bad for the environment. In addition, crypto investment is brutally risky and could adversely affect the national security, claimed the authority.
Meanwhile, the Central Government has directed Provincial Government in Hebei to take all necessary steps for achieving the target. The authorities therein have been given exclusive powers for wielding their power to shut down mining activities and crypto trading business. The action has been legalized on the basis that the regional electricity has been misused by crypto industry.
The news made its way into the international community because it was spread by a Chinese crypto journalist namely Colin Wu. Wu posted a message on Twitter saying that the Chinese Government is once again going after crypto farms and exchanges. But this time the action has been taken by the Province of Hebei on the pretext that crypto mining is environmentally hazardous. While also suggesting that crypto trading is against the national interest.