More mining farms and nearly 4,000 machines for mining Bitcoin and other cryptocurrencies using the PoW protocol have been seized in China.
Seizures of Bitcoin Mining Machines Continue in China
The country banned mining completely in May last yearand at first it seemed that he had succeeded in imposing a total ban on the entire country.
However, it was later discovered that several Chinese they continued to mine Bitcoin incognitoso much so that some estimates suggest that 20% of the global hashrate is still allocated in China today.
So the country had to keep looking for and expelling the miners to seize the machines, as it happens in other parts of the world where mining is prohibited.
an official statement A recent report from Guandong Province reveals that in March 2022, Dongguan City carried out 6,050 inspections, discovering 24 real mining farms and 35 local miners, and confiscating almost 3000 machines.
In addition, the Dongguan Development and Reform Bureau seized a mining farm located in a subleased industrial building of 2000 square meters in the Yinmandi Industrial Zone of Xiegang City, where they found and confiscated almost 1000 machines.
According to energy consumption analysis data, this single mining farm would have consumed at least 900,000 MWh since July 2021. Estimates of how many BTC have been mined.
It is worth noting that this illegal mining farm was opened two months after the ban, so it is possible that at first almost all miners in China ceased operations, only to illegally resume them at a later date.
The Chinese crypto market has never completely stopped, even after the ban on trading on exchanges, and this clearly shows how difficult it is even for a very authoritarian government like China to stop cryptocurrencies.
It is also unknown if Bitcoin has been seized and what the authorities might do with any seized BTC. In any case, the authorities tend to auction seized Bitcoin relatively quickly. to collect fiat currency.
The official statement also states that Dongguan City wants to strictly enforce the country’s anti-mining law, keeping high pressure on cryptocurrency miners.
Nearly 4,000 Bitcoin Miners Seized in China
Pressure from China’s anti-mining law
At this point, it is to be expected that this type of fight between illegal miners and the authorities will continue for a long time in China, as China has been trying to crack down on people using or mining cryptocurrencies for at least five years. but it has not yet fully achieved it.
States can greatly limit crypto activities, but they cannot stop them completely. As long as there are crypto states in the world, it will be impossible to stop the exchange and use it completely.
And since there is now even a state where Bitcoin has been declared legal tender (and thus enforced) at this time, it is unimaginable that its use can really be stopped.
The only alternative for States that accept this situation, with no illusions of being able to change it, is to regulate its use with laws that are easily respectable by citizens or simply give up and let them circulate freely.
In this, China is most likely waging a battle that has already been lost.