Chinese officials from Ya’an City, Sichuan have expressed their support for using locally produced hydropower to mine cryptocurrencies..
20th of April The Ya’an City Economic and Information Service and the Ya’an City Development and Reform Commission issued a statement on the implementation of local crypto mining. The document promotes the use of hydropower for mining.
The document states that the community will establish a “demonstration area for the consumption of hydropower” and a “meeting point for the big data industry”.. Officials believe that the province will thus attract investment and development in blockchain companies.
Cryptocurrency mining in China
China is known to be a major player in the cryptocurrency mining industry. According to a report released in late 2019 China’s Bitcoin miners were responsible for up to 66% of the world’s hash rate at the time, 54% were from Sichuan Province.
Nevertheless After the corona virus pandemic struck the country, China recently lost ground in cryptocurrency mining. As Cointelegraph reported earlier this month Baite, the former Bitcoin mining pool, decided to leave the business.
Also Outdated hardware is also taking its toll on local mining companies, Recently the Chinese release, Securities Daily reported that more than 40 mining companies were forced to cease operations Due to the fact that the old mining ASIC, Antminer S9s, was no longer profitable to operate.