China has redoubled its efforts to combat cryptocurrency mining in its Inner Mongolia region by imposing new sanctions on those involved in this illegal activity.
Authorities have tabled a new draft regulation that provides stricter penalties for those caught mining Bitcoin (BTC) and other cryptocurrencies, according to a report in the South China Morning Post. This would include adding offenders to a social credit blacklist. This would prevent them from getting loans or even using the transportation system.
The new rules specifically mention data centers, industrial parks, telecommunications companies, internet companies and even cyber cafés.noting that criminals found to be operating mining equipment could revoke their business license, be removed from the local electricity trading system and even shut down their businesses altogether.
The draft rules have yet to be publicly reviewed by June 1stHowever, the Inner Mongolia region has already faced tough crackdowns on cryptocurrency mining. Eliminating energy-intensive mining is part of China’s stated plans to become climate neutral by 2060. A hotline is already active in the Inner Mongolia region asking citizens to inform the authorities about local cryptocurrency mining.
China’s determination to get rid of the bitcoin miners has already had a positive impact. Three mining companies – BTC.TOP, Huobi and HashCow – announced the closure of their operations in mainland China earlier this week.
While China is pursuing cryptocurrency miners as part of its stated carbon goals, other countries are doing the same activity but for different reasons. Iranian President Hassan Rouhani gave a television speech on Wednesday announcing an immediate ban on all bitcoin mining until September.The power outage in Iran was reportedly caused by excessive power consumption by Bitcoin miners and has already resulted in network outages and street lights dimming.
The Iranian authorities are now offering 200 million rials ($ 873) as a reward for anyone who gives a clue about the location of the illegal bitcoin miners., a sum more than four times the average monthly salary in Iran.