- In May/June, China outrightly banned all crypto-related activities including Bitcoin mining in the region.
- Since then there has been a large exodus of miners away from China, as a result, Bitmain has also seized shipping Antminer into China.
- Bitmain has boosted its production capacity to other regions of the world.
Following a crypto ban imposed by local authorities, Bitmain, a Chinese producer of cryptocurrency mining equipment, has been forced to cease operations in China as of Oct. 11.
In addition to China’s blanket prohibition on crypto activities, the company has cited China’s carbon-neutral policies as a reason for ceasing to supply Bitcoin (BTC) and cryptocurrency mining rigs. Bitmain’s announcement reads, “According to Bitmain’s announcement:
“From October 11, 2021, Antminer will stop shipping to mainland China. For customers in mainland China who have purchased long-term products, our staff will contact them to provide alternative solutions.”
Bitmain’s Operational Services to the rest of the World Remain Unaffected
Bitmain will continue to offer Antminer crypto mining rigs to consumers all around the world, including those in Taiwan and Hong Kong, although the business has yet to divulge its plan to assist existing clients in China.
Bitmain has boosted its production capacity for Antbox mobile mining containers to overcome the unexpected slowdown in the Chinese market. The company will host the World Digital Mining Summit 2021 in Dubai in November, where it will talk about green energy mining potential “mostly derived from clean energy power generation projects in Yunnan, Xinjiang, and other Chinese provinces.”
China’s Crypto Ban seems to have Zero Effect on Bitcoin in the Long Run
Despite China’s recent prohibition on cryptocurrency activity, Bitcoin mining businesses are on the rise as Chinese miners and investors relocate to more favorable jurisdictions.
Currently, Bitcoin’s hash rate difficulty has climbed by 39% since late July. Furthermore, Chinese news outlet Wu Blockchain reported on Oct. 5 that Bitcoin’s difficulty increased by 4.71 percent at block height 703,584, marking the sixth increase in a row since July 31.