Bitcoin Mining crackdown in Inner Mongolia

Inner Mongolian authorities are planning to restrict crypto mining firms in the region. A Chinese news outlet reported that in the coming two months, five major departments will carry out a “clean up and rectification” process to restrict crypto mining.

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A Chinese news outlet reported that five departments of the Inner Mongolia Autonomous Region have issued a notice that suggests a restriction on crypto mining firms in the region. According to the news outlet, regulators believe that the cryptocurrency mining industry belongs to pseudo-financial innovation and is unrelated to the real economy.

Chinese venture capitalist, Dovey Wan in a series of tweets revealed that Inner Mongolia authorities are not only planning to restrict crypto mining but also cloud computing, big data, IDC, and data center. She added that she doubts it would have much impact on the crypto mining firms.

Autonomous Region Development and Reform Commission, the Public Security Department, the Office of the Ministry of Industry, the Financial Office, and the Big Data Bureau are expected to inspect the situation and take measures over the next two months.

Earlier China’s economic planning commission labeled Bitcoin mining as dangerous. Inner Mongolian government operates separately from the Beijing government, and this decision could possibly be a sign of a bigger policy change in the future.

Currently, most of the crypto mining firms in China are located at Sichuan river region because of the huge amount of cheap hydroelectric power available in the area.

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Jai Pratap
A Mass Media Graduate who loves to write. Jai is also a sports enthusiast and a big movie buff. He loves to learn new things.

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