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It would be extremely dumb for them to do it.  consider they are creating tremendous value out of both the mining and the sales / development of mining equipment.

You probably don't know how communism (aka statism) works.

They do such things for displays of power. They rule through terror.

'We' as china.. not 'we' as #bitcoin

Anyone know the proportion of mining through countries?

I dont know how accurate this data is but its posted back in july 2017

https://www.buybitcoinworldwide.com/mining/pools/

Hope this will help you in something

If he said so , let's hope that their government will not ban mining activity since it will make bad impact on bitcoin value.
Was so afraid if more people doing panic sell once again and some group try to take a benefit for this situation

I do not know how much it is in percent, but if Chinda mining is banned, this is incomplete by other countries, and I think it will not be a problem for us, but I am very sorry for Haipo Yang :)

If China stopped mining btc this would be s good for other countries to mine cos most competition comes from China other countries can mine btc easier.

Pool Concentration in China
Before we get into the best mining pools to join, it’s important to note that most mining pools are in China. Many only have Chinese websites and support. Mining centralization in China is one of Bitcoin’s biggest issues at the moment.

There are about 20 major mining pools. Broken down by the percent of hash power controlled by a pool, and the location of that pool’s company, we estimate that Chinese pools control ~81% of the network hash rate

https://www.buybitcoinworldwide.com/wp-content/uploads/2017/02/pools.png

China is home to many of the top Bitcoin mining companies:

F2Pool, AntPool, BTCC, and BW.

It’s estimated that these mining pools own somewhere around 60% of Bitcoins hash power, meaning they mine about 60% of all new bitcoins.

Yes, it might sounds pretty nice and easy, but once china do it, then bitcoin will feel it since biggest miners are from china, then that will hit a huge effect to bitcoin price and some altcoins to dump a huge dump IMO

'We' as miners.. not 'we' as #bitcoin

Just fixed it for you.

They have to find another place to go. Maybe Russia could grant a discount on electricity costs for mining btc? They have plenty of gas there.

Won't happen

Bitcoin is not only the house to the bitcoin mining or nodes, Russian alreayd run the bitcoin nodes and they are distributing the subsidy to the miners that already included in their criteria.
As you can see the nodes of bitcoin already spreaded around the world and i wouldn't believe if we will be fucked by the way.

Most nodes are in Germany and USA. But nodes do not affect prices as Miners or trade volume.

Based on my observation I think this will only affect in the country such as china whom are very well know in all over the world as one the biggest business country in the world, they are banning cause they see it as threat in the businessman market industries.

actually "We" as in "ViaBTC and bitmain who sells mining equipment" not even Chinese! people can continue to use bitcoin, even miners may be able to continue working fine but big companies that have been selling "cloudmining" aka ViaBTC or mining equipment aka Bitmain will be fucked.

They will be affected and the only solution for it is to find another country where they can continue their operation. I don't they will just agree to the government by saying "hey, mining is ban and almost everything in bitcoin is ban." Possibly that they have Plan B on it now and looking for possibilities where they can continue their full operation, they are worried as they know the consequences but not totally for all of us.

I'm not sure how mining can be illegal. By this analogy they can ban all producers of equipment also. This is ridiculous, cannot happen. Those kind of news are more FUD and they have their role in Bitcoin downtrend.

Bitcoin mining is industry now and those large pools will just be allocated and will continue to work under less good conditions regarding to cost of electricity. But this will reflect on price. Miners won't dump under price..

The government in China has certain goals on why they do what they do.
First of all they want to keep money in the country and strengthen their economy.
Mining bitcoins contributes to that goal. The mined coins can be sold, even abroad, and the money flows back into the country.
I think as well that even if the mining power based in China breaks away, bitcoin might become a bit slower, but far away from not functional anymore.

Are the Chinese exchanges and miners colluding with each other to spread FUD everywhere to pull Bitcoin's price down? The train will be leaving without them, I believe some of them are desperate enough to take everything down with them if they cannot join the fun.

Someone answer him back, "If the Chinese government says mining is illegal, then POW upgrade will be easier. Good bye."

it is China. Government can do whatever they feel it is right. They could ban people from using socks on the right feet...

They will make adm from chat groups and forums be responsible for everything that happens on there. And facing jail time if something wrong happened.

I haven't seen anything beyond a couple of screenshots to suggest this has any truth at all.

I certainly won't be sad if it is true. It would be the Chinese government's final parting gift to us all.

There definitely would be a huge disruption in the market if Chinese Government tries to ban mining farms. Price might hugely fall. But because of that many other mining farms will open just in a month in various other countries because mining will be profitable at that time. Market will definitely recover but in that circumstances it would take more time. Many people might panic and withdraw their investments from Bitcoin and price might touch lowest point of the year. But in a period of some months, Bitcoin will come back on track.

The market doesn't give a flying fuck who or what is mining Bitcoin. Some of the richest traders probably don't understand the slightest thing about how it works. It's supposed to be invisible, not central to everyone's perception.

The only effect will be an increase in the time between blocks until the next difficulty adjustment unless enough miners elsewhere pick up the slack.

It would be one of the single most bullish things that could happen to Bitcoin. Chinese mining has been a cancer.

There might no doubt be an attempt by the usual whales to initiate a dip, but it's less than nothing compared to the closure of the markets.

There are other miners other than Chinese miners. I am sure we can survive it even if the miners in china closes their operation. Miners from other countries will pick up the slack.

Cant still be fucked up.If they would be gone then for sure there would be countries would taking its place regarding on mining bitcoin.Even if they do have the largest mining operation on bitcoin it cant really totally shut down its operation and also there are still miners on it which means theres still miners would push through transactions but the issue on here would be the confimation times would be fucked up :D

Anyone would think you couldn't put all those mining machines on a boat/plane and sale them to Iceland or Scandinavia or Africa and stick them in a data centre next to some cheap power and turn them back on again.

It's all just a ploy by the Chinese government to bs able to tax the fuck out of the bitcoin high rollers that live there. I doubt the Chinese government will miss out on the opportunity to make lots of money.

I don´t get it. If China bans Ming, the hashrate and thus the difficulty wil decrease by aprox. 50%. Will it change anything in regard to the Blockreward ?
The only thiong that will change is that 60% of the dayly new Bitcoins are not mined by china anymore.
And if the difficulty decreases, will it not make mining attractive for others again?
Can someone enlighten me...? ???

And if Chinese government makes mining illegal, what will happen? They will stop mining, and center of power will be moved on some other place? What will they do, can Chinese miners move all their equipment in some other country? They earned a lot of money until now, they can pay that moving. It will be interesting to see what will happen in China, today I saw the nesto about Russians, they support China actions, what ever Chinese do Russian will follow apparently. It's something I connected in my head, Russian bitcoiners with have to be prepared for that.

You have enlightened yourself. Bitcoin will be a bit slower for a while if there isn't other machinery ready to take up the slack. That's it. That's the only practical effect there'll be and then after a few weeks it'll be fine.

The spiritual effect will be profound. Bitcoin from then on will be mined by people who actually know what it is and give a shit about it.

If China makes mining bitcoin illegal, then those mining companies will just move their operations to more mining-friendly countries. Sure there will be disruption for a time while they relocate and set up shop and it will prolly cost those companies a lot to move, but I'm sure they will do what they have to do. Does anyone really think they will be like, "Oh man. China just banned us from mining this super-lucrative thing. Darn it. Oh well, I guess we'll just stop mining it then and go back to making peanuts producing cheap toys to export to the world."

Doesn't make a difference to me where bitcoin gets mined.

Why? Was it not China that made it possible for Bitcoin to go to new all time highs this year? I know they were also partially responsible for some of the FUD, but they also did their piece of the job in Bitcoin's bullish growth.  Would it not be better for Bitcoin to have them?

It would really be better to have Chinese using bitcoin but even if they really ban bitcoin I would still be happy because the well known btc price manipulators such as Jihan Wu would be out of the seen I would miss their FUD if China government says that mining is illegal though. Maybe they wont do that after all, it improved their economy even if only for a little and it gave some of their people a good source of income.

This. Mining was manly outside of China before 2013 and the ASIC revolution.

If China bans mining, mining rigs outside of China will take up the slack (remember that the difficulty will simply adjust down after 2016 blocks, so it only involves a bit of pain for a month or so.

How much do you think the price will drop if tomorrow they say mining's illegal?

"We" who?

Bitcoin difficulty is self adjustable by design, if they shut down, a new equilibrium would be found. Even BCC found one eventually.

In fact would make little difference, except for them.

Surely this would be positive news. No more Segwit2x fud, no more bcash, no more miners trying to undermind Bitcoin to pump there own alt coin. No more miners trying to get rid of core and spreading fud about bloodstream because they posted a comment on a forum that got deleted by a mod.

Sure the network would slow down in the short term but in the long term this would be very useful for Bitcoin. So im pretty sure it won't happen.

Totally agree. Bitcoin is solving a problem in China right now. In some regions there are Electricity plants build but there is no electricity network built to transfer that electricity to regions where is needed. Bitcoin solve this, since they just mine BTC with that electricity surplus, and with that way sort of store electricity.  there is zero chances they will do that. All China will do is to mimimize ICO scams. Same as USA is already doing and all other countries will follow.

They wont really do such thing and they are making money out of it i dont think that they would stop such thing.Even if they would decide to ban bitcoin they cant do anything about it and would stood still as long there are people who do make use of it.I do somehow agree on regulating ICO instead it did might affect the price but i eventually like the regulation that they made.

LOL

The Communist Party do not care so much about money. They care way more about control. China will ban mining.

Of a truth I really don't know what the Chinese government will stand to gain in all this attempt to strangulate the bitcoin apart from egocentric display if power, perhaps against its citizens. I have allowed my mind to wander if the Chinese are not daring the global economy with this action...It started with regulating ICOs to banning it, then banning bitcoin and now, mining? This isn't something the Chinese should be proud of.

Blah,blah,blah chinise miners mafia cry,Japanise miners are coming,one of his mining company has 90mln budget,Russia is going to launch his.Thay will have hash from nuclear plant,There is Australia with his solar energy,we dont need you China and you know about it,so stop to scream

Lol you're so right .... so much FUD :D

If all of China's hashing power suddenly stopped mining then the difficulty adjustment in Bitcoin will take around 2 weeks at a time before it can find an equilibrium. The more power that is taken out the longer it will take. Think of a Bitcoin block mined once for every 3 days or maybe more? I do not know the math but it would be good for a miner to comment.

BitcoinCash has the emergency difficulty adjustment that made it easier for their blockchain to adjust when losing a lot of hash rate.  

That is way Bcash is up when almost everything else is down? BCash will win anything when mining become illegal in China? I thought all BCH was mined in China.

I seriously doubt the probability of mining itself being shut down... too much invested already there would be no reason as coin generation is much different than coin exchange...

Would be for the best long term, even if it would cause short term chaos.  It's probably something that will have to be dealt with eventually. 

Highly doubt they'd do this though, much more likely they'd seize it as state property or something similar.  Far more to gain from having physical possession over the majority of the hashrate than whatever banning mining would do for them. 

How could a mining industry is illegal while there's no fraud indicated in that act and purely business is rotated in that thing but if the Chinese pathetic government will take an action and push it as illegal act then we will be all fuck off here since we all know china have the major hashes here and price will be drop off when chinese will thrown out there machines.

If Chinese government bans mining, then it'll just mean that big pools will be forced to either shut down or relocate meaning that they will downsize. An average citizen will still be able to mine bitcoin without any suspicion from the government.

In a sense - this is great news for bitcoin and shouldn't affect the price per bitcoin much. Bitcoin is becoming more decentralized if China does ban mining.

Bitcoin is a p2p network. Government can't start checking every single person's internet usage and figure out whether they are mining bitcoin or not.

There are plenty of S9s outside China and then there's Bitfury too who had a quarter of the hash rate at one point. I think they sell most of it to other people now.

I think an absolute worst cast scenario would be BTC slowing by a 2/3rds, but even then there's a lot waiting on the sidelines outside China. It would be a sluggish few weeks and then a gradual return to normal.

China is not communist. They are totalitarian capitalist and their most important priority is money. Also, they don't have to show power to the Chinese people, the Chinese people are quite clear about it. They are very well planned and sharp and they will cut off Bitcoin if they are not able to control it. They allow ANYTHING as long as it is controlled by them.

I am hoping China not only bans Bitcoin but also bans mining and everything else associated with Bitcoin. The world will move on without them and that would be beneficial to the world as well as Bitcoin in the long run.

Last thing we need is suddenly all of China's hash rate in the control of the Chinese government.

This is most likely to happen china is the backbone of btc in terms of mining we will face many issues if they ban mining but over the months everything will settle we have already seen russia investing in btc mining they also claimed that they will have more mining power than china , even japan is been showing interests in mining the only thing that would happen is high fees again and really slow speed of transactions.

Not only in terms of mining, but even in terms of user base and other means of acceptance China plays a bigger role. As mentioned banning creates a big market collapse, and in future situations will change. The reason is that more a deal more countries as a whole gets into bitcoin usage.

Only big corporations running bitcoin mining farms and making bank off it will be fucked. The rest of the bitcoin miners will be able to go on their business as usual. Government has no way to enforce their laws if they come out with any restricting every single miner to mine, it's just not possible on such a large scale.

This is pure speculation. Right now they are only seeming to be interested in exchanges.

If they do get banned, price will take a hit but will rebound quick enough. As i said, it won't affect how bitcoin will be run in general.

Yes they will doomed, but not us, there will be plenty of users will start to build big mining farm because the profit will be very big, so we are ready if the government want to try to do something stupid,we are able to maintain bitcoin without china

If china suddenly declares mining as illegal,then there will be a huge problem in confirmation of transactions since most of mining pools and mining farms are located in china.We might face a huge volume of transactions unconfirmed.It may take even week for a transaction to get confirmed.But it would not exist for a long time.New mining farms might get set up in other countries thus decentralizing the mining industry.Then,every thing would get normal but we might have to remain patience for some time.But,it would be good for bitcoin progress on a long run.

If that happened the mining difficulty would adjust downwards in just 2016 blocks. So at most there will be problems with transactions confirming for a month. Then things go back to normal.

It only adjusts slowly though. Look at Bitcoin Cash when it split off, it took quite a long time before it got back to 10 minutes per block.
China is a powerhouse in mining, if they are banned it would be a nightmare for Bitcoin short term.

If it is banned, I can imagine other countries doing the same at some point too. If bitcoin got so big that it threatened national currencies, they could just ban mining. Even western countries could just slap a big tax on it, that would end that.

Exactly, in case of mining ban in China. We will experience a huge transaction backlog and higher transaction fees. Transactions would need long waiting time to get confirmed in such circumstances. Within a month all will come to normal as other countries will take it as an opportunity to increase their hashing power. Russia increasingly working in that direction. Due to all this disturbance, price will fumble and might experience a dump but that would be short lived.

It only took a few weeks. Anyway, I'm sure all these Chinese mining operations are looking to shift their business abroad in order to continue - there are other places in the world with cheap electricity.

Any major Chinese bitcoin mining operation that *hasn't* planned for redundant or backup systems elsewhere outside of the mainland deserves what they get, IMO.

It's a no-brainer if they want to stay in business long term.

You believe it could slow down by only 2/3rds, but most of the biggest miners are in China. It surely could be higher than that, and the network could go a lot slower by more than just "a few weeks". There is a chance that it may not recover.

Try to imagine how much transactions would be in the mempool.

Money is control. all that matters Chinese politicians is now GDP growth. Because of last decades with +10% yearly growth people are disappointed when growth is only +5%.  But everyone with at least tiny bit of brain knows you cant keep +10% yearly GDB growth forever and you cant avoid recession (2 quarters with negative GDP growth in a row).  They are not stupid! Even is partia is one party, it dont means inside that party are different groups of people with different visions.  Trust me when China gets in first recession, whole government will change and whole top members of partia.

This. I hope china bans mining so bad. I don't care if there is a temporal market correction. I just want to see all these chinese miner idiots that have caused so much damage to bitcoin with their hardfork stupidity to fall and file for bankruptcy. These bunch of idiots have had way too much power on their hands for doing nothing but being born in a country with ridiculously cheap electricity. Well, now it's time for them to leave and let other people mine bitcoin, and mine the real bitcoin, not a nonsensical hardfork that nobody even uses (just look at the BCash blocks, they are like 10kb big, it's ridiculous).

I don't care about China's problems. Even if this is not the rumors of bitcoin will quickly restore power. If China will cease to dominate among miners and traders, the bitcoin community will only benefit from this. I believe in bitcoin and I am sure that the Chinese government does not do nothing. They're definitely up to something and it will increase the price of bitcoin.

If they said mining is illegal they could not assemble and sell mining gear for the rest of the world

Then someone else would be willing to do it knowing that there will be a large demand in miners after China is out. Imagine how much hashing power would be lost when Chinese miners leave the scene. That means difficulty will go down and (potentially) mining would be profitable again. Machines could be manufactured by Russia, the US or any other countries out there that has the money and the means to deliver cost-effective miners. A new door of opportunity will open after the Chinese has closed their doors and that's for sure.

Chinese have many idea to earn and making something profit.
But I'm just read that China only want to make a new regulation for bitcoin so people able to use it once again on the future

Chinese governments was able to make over 149 millions of its citizens rich because of the open mind the government has towards technology advisement and in the next 15 years Chinese government will like to sustaining this development. Bitcoin currently is the greatest human technology achieve! It is the only decentralized system that has not fail the blockchain technology is one of the best in the world. China banned mining activities is actually one of the dumpest thing to do.

China won't ban mining as they are earning from it, they supported this that is why the china is leading the world in mining and they won't ban things which they supported for years only because there are fake ICO are coming daily to rip people off.

if 50% of mining power goes offline, we are not fucked, just Chinese miners are. It will just mean a bit of delays finding blocks until difficulty adjusts.

China top criminals might try to seize the mining equipment for a 50% attack, of course.

Sheeple ignored centralization in China, now the day of reckoning might be close. But no worries, a hardfork to another algo will fix that LOL honey badger doesn't give a shit  ;D 8)

temporarily ETH or DSH or other non-ASIC coins could moon, while BTC price would drop like a rock....

Totally agree.
Actually we are not fucked even though China ban bitcoin or mining activity, yes, the market will react and the price will drop, but it just temporarily and then bitcoin will rise again. We just left China market, and soon Japan or Russia will take over the biggest mining pools.
Consider one thing that will be profitable, if China ban mining, miners have no choice but to stop their mining activities and cut loss by selling their hardware cheaper, so others could buy it and continue to mining bitcoin.

They may be fucked but frankly it wouldn't impact bitcoin much.

All there will be is an adjustment period where the blocks are very slow, just like when bitcoin cash first split from bitcoin. After that bitcoin will run as usual.

Actually if China banned all mining then it's actually better for decentralization of bitcoin, and that's the main reason why i think price of bitcoin won't actually be affected much. If it happened now i doubt btc will even drop to under $3k. Plus, this is all rumor and nothing to back it up tangibly. Take it with a grain of salt.

So far the possible ban of mining was just a baseless rumors and quite possibly fake, but we can theorize about what effect it would have on Bitcoin's network. By Bitcoins design hashpower goes hand in hand with Bitcoin's value, and although usually it's the value that influences the hashrate, the opposite link is also possible. If hashpower would radically drop due to Chinese mines closing down, Bitcoin's network would become less secure after difficulty adjustment, so technically someone malicious would be able to launch double spending attacks easier (even though we might actually never see them on practice even in this scenario). But as Bitcoin markets are very speculative, traders will view this as a very negative news and would try to profit from it by shorting Bitcoin, thus causing the crash similar to what we've seen recently. But in the long run it would be a great test for Bitcoin, and if it will pass it, it will continue growing, as people will see how resilient Bitcoin is.

mining banning would be bad really really bad

This is why centralized mining is terrible for any coin

Very bad for china if their goverment say mining is illegal, they wil be only loosers because it means saying goodbye forever to bitcoin and crypro. For me this means saying no to future development in one of the main part of virtual world.
I think they won't ban mining, theyvjust want to stop using of bitcoin in their country to avoid many illegal activities. (no pay = no job).
Think twice before you start business in china if you have such goverment.

If they make Bitcoin illegal, how they will allow miners? Or how miners will get the money to sustain their business?

I don't know on what is the real story behind government for possible looking at that bitcoin mining is illegal doing, but maybe those mining rig operators hiding there hardwares to avoid to pay there taxes for operating that but if this one would really be happen then a huge part of bitcoin economy will fell down. And its so unlucky for chinese crypto stakes since they will be taken out an ability to earn with crypto's.

Really i don't know what they want they are keep jealousy from bitcoin because bitcoin is going upward and china is keep on fire so i would prefer that they should stay away from bitcoin because they are nothing to do with bitcoin.

This, communism does not care about such silly things as creating value and free enterprise, they care about power and about showing their citizens they have power over them, to be honest I think miners need to begin to move their operations overseas before the Chinese government does this, it is obvious this is going to cut down their profits margin since electricity in China is very cheap, but it is better to get slightly less profits than to be shut down completely.

If China wanted to prohibit all types of Bitcoin usage, they would have done it already, and this is something that people don't seem to understand ~ China is just buying time to allow themselves to properly regulate this industry.

I wish it was that simple where China would ban everything and they no longer participate in this industry, because if that was the case, we would likely see this market increase almost continuously.

Seriously, if we look back, all the dump fests after MtGox were all China related. It is no coincidence that at the time the price has gone up significantly, China pops up taking the price down again ~ it's almost a common occurrence.

China has just banned whats app
https://www.nytimes.com/2017/09/25/business/china-whatsapp-blocked.html?mcubz=3

People talking about liberty and business... They do not care about that.

It seems that Chinese government really do like to ban things from their country. Well, they just wanted to show that they absolute and that they can do whatever they want. I don't think they will ban the act of mining BTC in their country because they will lose the only strong connection that they have in it when they do that. But who knows, they might do it.  ::)

In case that they indeed ban it, many countries will take that opportunity and get that market (mining) for their own benefit. Candidates for that would be Russia, USA and Korea. Heck, Japan might even consider of building a mining farm in their land if China do it. 

Yeah, there was even a governor in Russia that invited miners to his region following the Chinese ban rumors. See here: https://cointelegraph.com/news/bitcoin-mining-farms-invited-to-russian-leningrad-region

And we already know that Japanese conglomerates are jumping head-first into the mining industry, with GMO and DMM making major investments within the year.

I think it's still a bit too early to expect state-backed mining enterprises. If any country is likely to be the first to nationalize mining operations, it would probably be China.

It will do wonders if at least 25% of mining power in China go to Russia and Japan.

Russia have gas, they can use it for providing cheap electricity.

What use do we have when most users are outside of China, but most miners are still inside it? It's a risk for our bitcoin economy.

The term "We" indicates here only the chinese miners who all would really be fucked up if china declares bitcoin mining as illegal.Its not an issue for us,bitcoin holders since bitcoins would be mined continuously in other parts of world.There might be a slight delay in transactions since most of the mining farms are in china.But japan's internt giant has announced that very soon,it would create its own ASIC miners.So,the problem of transactions getting confirmed would get solved step by step.

Agreed--the Chinese miners would be the ones who are screwed.  If the link someone posted near the beginning is correct, then China is responsible for about 80% of the network hash rate.  If all of that disappeared overnight, the network would slow down by a factor of about 5, but once the difficulty retargets, things will be fine again.  The only danger there would be if other miners gave up on mining because of the increased block time, but it would be in all the miners' best interests to continue mining so their bitcoin is still worth something.

"Using home computers for mining" days are gone now professional mining  requires more stuff and knowledge.That's why some governments invite group of miners with making good promises.Also massive mining farm offers attract others to this countries.

It's possible that if all mining in China stopped, it could temporarily disrupt Bitcoin transactions. There apparently are a lot of miners in China so other miners need to pick up the slack if that happens. It's also possible that the Chinese government wants to do all of the mining themselves. They may be trying to hoard as many Bitcoins as possible by mining rather than letting the citizens mine. Nothing would surprise me at this point with China.

Does anyone have any idea where a lot of the big Chinese miners are located?  Is it possible that they could move their mining operations elsewhere if China actually bans mining?  I'm guessing that they're not very mobile, so it may not be worth trying to move.  But that may be more appealing than trying to liquidate all of their equipment.

We = Chinese miners.

We are not chinese miners, so we dont care. If the price crashes, then so be it, it will quickly recover as other parts of the world enter the mining game to get advantage of the decrease of difficulty. Bitcoin self regulates, remember that. You get rid of the hashrate in Part A, it becomes twice as profitable for Part B to start mining. It only re-organizes hashrate. At the end of the day the only ones losing are the stupid Chinese government and their poor citizens unlucky enough to be trapped on that shithole.

Mining is the roots of the Bitcoin economy. China is one of the largest world superpowers, with a super majority of the global hash rate under its jurisdiction. The PBOC rumors in 2013 preceded a 2-year bear market for Bitcoin. The price fell 90%.

Such a disruption to the mining economy has never been seen before. There are emergency hard forks coded in case of such drops in hash rate because the Bitcoin protocol is so badly-equipped to handle them. So, no, hash rate is not merely "reorganized." That only works where hash rate is relatively non-volatile.

Assuming that price will "quickly recover" is naive and indicative of someone who didn't live through the 2014-2015 bear market from the top.

Personally speaking, I don't care that much right now if eventually the Chinese government will eventually stopped all the Bitcoin mining happening within its jurisdiction. I am sure that if in case this will come true then new miners from other countries would be taking over the vacuum. Now, this also means that there is a big possibility that many miners based in China are already thinking of taking their business somewhere else as they can not be sure if they will be allowed to do the business in the coming weeks and months.

Kicking mining out of China can actually be good for the whole Bitcoin community as this can mean that the Chinese influence can be watered down so we can slowly get away from some sort of an imbalance in the Bitcoin decision making process. Moscow is right now opening its door for more miners and I am sure that there would be a resurgence interest especially by next year when the value of Bitcoin is expected to astronomically rise.

Looks like there is still panic and uncertainty among Chinese traders and miners which suggest that we might hit another round of dump really soon. When government will announce official ban on crypto mining than all china based mining farm will shut down with huge loss and they might start to sell their mining rigs for really cheap prices and they might also dump all bitcoin they have just after the official announcement.

I am still expecting a huge dump before all this uncertainty settles down. 

I hope that they start to sell the mining rigs cheap before the baning. That way people could start mining in other countries before the ban.

I like this prospect. I'm happy to buy their cheap equipment. But I think that this will not happen. It seems to me that this is fake news to cause a panic and buy up cheap bitcoins. Even if we assume that China will ban the production of the Chinese take out this equipment to Russia. They have long been hosted in the far East.

But how they gonna send those huge machines outside china, shipping cost will be really high but if they do so than bitcoin mining will be more decentralized and market will be quite stable.

Right now china owns larger portion of mining, which country can still be suitable for mining considering low cost electricity and crypto friendly government?  ???

Shipping will happen as it does in any other business. If there is demand for it, the cost of shipping will be paid. Bitmain ships miners all over the world currently. You think it's difficult for Chinese companies to export products?

Anyway, there were rumors circulating that smaller miners were offloading their equipment, but the situation has calmed down. Jihan Wu seems unconcerned, and Bitmain is still offering miners for USD as well as various cryptocurrencies. They even just added some new crypto payment methods like BCH. Charlie Lee says the rumors about banning mining are BS.

Absolutely no way that China will ban mining.

As you point out, mining is not an effective way to move capital abroad (to subvert China’s capital controls), because for every $1 invested in mining, more many more dollars in value are returned which extracts value from abroad. Mining is net inflow of capital to China.

China mainly wanted to shut down rampant speculation and the ability for people to convert Yuan to BTC easily and take the capital out of China. ICOs were siphoning capital out of China and into the pockets of scammers. The elite in every country will not allow a bunch of script kiddies to take $billions of the domestic economies those elite control.

After China’s election in October, some are speculating that China will reinstate BTC exchanges with more stringent regulations on KYC, AML, and limits on volume for different levels of KYC compliance per user. The BTC trading ban was probably a “saving face” political show of force before the upcoming Communist Party congress. It’s to show the party hasn’t lost control (remember in Asia saving face is critical, even if the reality is different).

China will not let ICOs to come back, except in some registered form similar to what Overstock/TZero is proposing (https://bitcointalk.org/index.php?topic=2208231.msg22330424#msg22330424), which has the downsides documented at that link. The get-rich-quick, free-for-all, pumpy dumpy ICO era is ending. So this question is will this drag proof-of-work issued coins down also? PoW-issued are not securities, but the ICO craze has driven a lot of money into our ecosystem and especially by China last winter 2016 when markets often go on holiday in West (https://bitcointalk.org/index.php?topic=2209819.0).

I’m expecting BTC to rebound because everyone is so pessimistic. However, it appears that Australia, South Korea and others are banning ICOs also, so perhaps we’ve already topped out (https://bitcointalk.org/index.php?topic=2209819.msg22344599#msg22344599) (see linked chart)? Yet looking at the price action since South Korea announced an intention to ban ICOs yesterday, appears the markets are shrugging it off, at least Bitcoin. If we have another move out of alts into BTC, that will then signal another move up for alts since they tend to lag BTC on the way up. Someone has said volume has been weak on this rise (I did not confirm it), so is this caution that will return to FOMO fever or are we in a deadcat bounce?

Seems the ICOs such as NEO are getting very strong recoveries, so perhaps the FOMO market is going to stick out their middle finger to the regulators and dare them to actually delist tokens in many major nations. Perhaps the party won’t be over until the fat lady sings?

Also I still ponder if we have the possibility of a massive theft of SegWit transactions event (https://steemit.com/cryptocurrency/@anonymint/shocking-crisis-coming-to-cryptocurrency-in-sept) on the horizon with LTC and BCH being the potential benefactors. This theory says BTCSegWit will collapse in price and then BCH, LTC and Satoshi’s original BTC protocol will rise up. This would be massive chaos in addition to the ICO bans coming and the SegWit2X split.

Frankly this is very difficult to analyse but it appears very chaotic and very risky. Yet that is probably the time to buy. Has maximum fear of an ICO implosion already been priced in? Perhaps we need the SEC and Australia and others take enforcement actions against ICOs before we see the worst of the selloff? Or those enforcement actions could come gradually and the market transitions and shrugs it off?

Can any one offer some sober and well reason points that don’t just attack me for fringe viewpoints when in fact I have routinely ended up being proven correct over time. Remember when I was shouting to buy LTC at 0.006 BTC (and less than $10) and then LTC did exactly what I said going to $50, correcting, then going to $75+.

Charting seems to indicate that LTC and BCH could triple, but we could have significant declines interim. Increasing volatility seems to be the only constant factor.

Thoughts? (please everyone be respectful of each other, this is not a boxing ring (https://www.youtube.com/channel/UCzqn0xsxe-_Zf_B-q-YgZVQ))


Martin Armstrong is stating (to paid subscribers) that either DJIA solidifies above 21000, else we could have a SLINGSHOT correction, that initiates a blastoff to new ATHs above 27000+. Either way, the 27000+ level will be breached over the next year or two. I agree crypto has a related pattern, that we either bottom here above $3000, else we could see a SLINGSHOT correction much lower, but in either case crypto is headed much higher over the next year or two. However, the composition of which tokens gain and lose could change significantly with the banning (forced delisting on exchanges) of unregistered ICO issued tokens underway already in several nations and the uncertainty over which fork of BTC will win.

So MA is thinking maybe a peaking on DJIA at 22463 and decline in the week Oct. 2 or Oct. 16. If crypto is macroeconomically correlated (something about risk assets?), so perhaps BTC is going to reassault $5100 before a drawnout correction?

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LTCBTC appears to me to be in a bullish triangle (wedge) preparing for a massive breakout to the upside over next months. 0.01 is the resistance of the triangle, which has been rock solid. We’d need to have seen lower lows on LTCBTC in order to be in a bearish mode, but we haven’t. Our minimum upside was 0.03 BTC which has not been achieved yet.

Also thus far this correction is less severe than the 2013/4 crash. That Mt.Gox driven flash crash caused BTCUSD to decline more than 60% and LTCUSD more than 80%. So far on this correction, BTCUSD only declined 40% and LTCUSD only 60%. So possibly we might have another leg up still or at least rising back to a double-top.

If we still have to see the original predictions of $1500 and $150 for LTC and BCH, then that would put BTC topping out at 0.03 - 0.05 w.r.t. to LTC so BTC reaching no higher than ~$5000. Perhaps BTC will double-top in the $5100s which was my original top price.

BCHUSD and BCHBTC have a similar bullish wedge pattern as LTCBTC (whereas LTCUSD has a similar blowoff topping pattern as BTC). This indicates a possibility that BTC and LTC are moving towards their tops, and then BCH will lag and rise magnificiently. Which coincides with the fanatical theory about BTCSegWit dying a fiery death. If BCH went to $1500 while BTC declined to $3000, that would a 5X gain in BCHBTC.

lol I agree, the rigs will be on sale offshore or it will just become a bunch of trash, I'm here ready to buy all those rigs for my mining purpose and it's good for the stability of blockchain network.
how many years china has the dominance in this field and now it will be gone soon.

When you have such an authoritative over you it is almost impossible to make long term plans that is what at the end makes those countries fall, then they begin to nationalize business, not realizing that these measures only hasten their own demise eventually no foreign investment comes to their countries and that is when they get paranoid that the world is out to get them, when they are the ones destroying their countries.

Haha, very eloquently put by mr Yang, such is Chinas dominance in bitcoin mining that there would be such a huge shock to the bitcoin economy if this happened  :o

Bitcoin is gonna be in trouble if crazy news like a mining ban happens

I also see that it will just be a temporary dent in the market if the Chinese government really bans bitcoin mining. But rest assured that the market will recovered once again if such scenario's happen. Other countries would also take over the mining business like Japan. They would invest millions of dollars for sure, because they are the only country that legalizes it so far. Its also good to see the mining monopoly of the Chinese move to another country or nation. They have so far dominated it, and it would be really nice it another country in the Middle East and one in Asia will fill the void that the China would have left.

This looks like a public, self-criticism, which is what China wants to hear, that they are in control, even if technically they are not. Smart move, Smart move

technically, they can't control. That is the best part. =)

Governments are powerless in trying to stop any activity which is profitable.   As fast as they lock someone up another will continue the task.   This cat is out of the bag and it's not going back in.


If bitcoin activity takes on higher risk that will only mean the rewards will be higher.   Drugs, firearms, gold, software, oil, fiat cash, try to make the movement of any of them illegal and you guarantee higher demand and profit until the markets reaches a new equilibrium.

That will surely result into huge fall and would take time for us to recover again. If country like Japan will takeover the mining, it will take long before everything goes back to normal not unless they will move quickly. Hope China government won't do such thing as we are near to holiday season where we really need fiat.

Japan is beginning to manufacture their own mining rigs and another country that I do not remember at the moment, so if China bans bitcoin mining after that then it is not going to be such a big deal, besides they could sell their mining rigs but not use it themselves if China gets to that point, but I do not think they are going to do that since they will make a great disservice to themselves with that policy.

Why would we be fucked?

The fun thing about Bitcoin is that lives beyond borders. Mining can be conducted anywhere. Chinese mining operations will pick up and move across the border. You'll barely notice...seriously.

Seriously, why are you worried? Why are we fucked?

exactly. ViaBTC has already plans to relocate their exchange overseas. I'm sure that pools are simply going to be relocate to another city if China does ban mining, which is completely unconfirmed news right now. There is really nothing to talk about.

It's actually better for bitcoin, as it makes bitcoin mining a bit more decentralized in a way.

Despite the fact that its dumb for China to look into that direction and ban mining, its is even more dumber for ViaBTC CEO to have come out and announce such important weakness to the whole world because even if the Chinese authority are not looking into that direction, it then means there is a place to be exploited and he shown them the route to make that a possibility.  Any country can go extreme length in an extreme situation and when the pressure in high, banning mining might be the least action they would consider.

yes, but not without costs. viabtc was a front for bitmain, and bitmain has invested massively into mining farm infrastructure in china. mining operations will move across the border, but the cost is a matter of scale. a casual miner that needs to sell a few rigs is nothing. bitmain is another matter entirely. i think his comment was aimed at chinese miners -- and particularly industrial miners -- not bitcoiners in general.

i think there was also some fear about a huge drop in hashrate (and subsequent escalation in block time/congestion on the network) if the government followed through with the ban. naturally, it takes time to move and or/sell equipment; it wouldn't be an overnight process. and i'm sure that bitmain profits from cheap, skilled chinese labor. that also can't be replaced overnight, and accordingly, there could be a vacuum left in the chip manufacturing industry.

Is there any confirmation with this news? First of all, china doesn't own all mining companies in the world, and we are now used to this situation, that is, china is out of the picture, if they really do not have any trust in bitcoin, let us just, let them live with it, if they would illegalize mining, it will just be on their country, not around the world, and this time, there will be no effect on the price bitcoin if they do so, since the chinese investors already sold out there bitcoins, this is because of the banning of exchange and bannin of bitcoin. I think we should also recognize other countries that have miners, they are still mining and earning profit, we should just not mainly focus on china, they do not control bitcoin.

Here,the word we means only the miners and not all of us.If china bans bitcoin mining,then it is only the miners who have to worry about their future and not us since it will not affect us in any way.Even it would have an effect over the confirmation time of bitcoins only temporarily and as bitcoin mining starts to spread world wide,then it would soon get solved.

Definitely,its a matter of serious concern for chinese miners.We know that largest number of miners are in china since electricity is very cheap and mining equipments cheap due to cheap labour.Bitmain is largest manufacturer of mining equipments which is from china.If bitcoin mining gets banned in china,then they have to start finding new customers globally to run their business.Don't know what miners would do as their business would get totally collapsed.China's domination in bitcoin market is only due to large number of mining farms there.So,if it gets stopped,then china would not be getting more new bitcoins.

sadly but yes it is true that bitcoin will suffer due to this .china cheap electricity sources and great geographical locations make it a biggest hub for mining cryptocurrencies,but if they ban farms in china then Neighboring jurisdictions such as Mongolia and Hong Kong will emerge as notable alternatives to China for the nation’s existing Bitcoin miners, namely due to location.Hong Kong is already attempting to establish itself as a major global hub for crypto-assets and blockchain-related technology,but it is expensive to its high electricity rates.Another potential destination for miners may be China’s northern neighbor Mongolia. While operating costs may run a bit higher than China, it is much more budget-friendly than Hong Kong for miners that often time work on razor-thin budgets.Furthermore, it boasts fiber internet connections from China and Russia, ensuring miners have steady access to the network.

apart from this other countries like india and iceland can help due their cheap energy sources.japan and USA already already have expanded their efforts ,they will suffer little due to their higher input cost.

It will affect us because the speed of the network depends on miners. Of course we could argue that if Chinese miners will get banned they will either move somewhere else or shut down which will cause the difficulty to drop and other people to start mining more because it will be worth it, but that shift could take months. It would certainly be bad news for BTC, eat least temporarily until the market adjusts.

The difficulty adjustment will take only a certain number of blocks (maximum couple of weeks at the old hashing capacity, which could extend to a month when the hashing capacity drops). So it won't be the end of the world if the Chinese stop mining.

This was not a news this was just a commentary and we are free to speculate on it, China has not banned miners and I doubt they are going to do it, but if they were to do that then there is not a doubt that the bitcoin network will suffer, but like always we will be able to recover, miners will have to leave China and set up their mining farms somewhere else where there is cheap electricity.

Any idea when they're gonna tax mining operations? They've been after exchanges for too long.

With mining yet there is no misconception, so it goes on smoothly without any big problem from the government side. Very few problems have got encountered in terms of electricity stealing from for mining operations and so on. Maybe when everything gets a perfect operational format, government might focus on taxation of mining operations.

Exactly! I do not see why we are all fucked like the OP said, when it is just only going to affect the miners in China only.

Moreover, China is not the only place where mining activities are done, and they might just move away from China and continue their mining activities somewhere else or just sell their mining gadgets at cheaper prices on ebay and other miners will be ready to take it up from there. I don't know why some people keep feeling China is in control here.

It wont be, but panic is going to spread all over the community, unlike exchanges or icos, mining is fundamental to bitcoin, that will be a blow against bitcoin and it will show very clearly the intentions of the Chinese government if that happened, and if we think that people complain now with the speed of the network if that happened the speed will be so slow and the fees will go so high that the people outcry is going to be deafening.

If china would ban also mining. this will be good for us here in the thirdworld country. because the price of mining rig on our country is extremely expensive and also the bills of the electricity here is so expensive so if the mining rig can be reduced by a 50% of price i can use a 5 mining rigs instead of 2 mining rigs right now.

we can assume that all the problems in China, as well as the fact that the Chinese government has made a bid to ban the production of crypto currency, will benefit other users? I think that if this is true, then we will need to pay attention to the extraction of bitcoin from the very same. Maybe I will, because I have alternative energy in my yard. The power station from the wind helps me in the household, and will help in the extraction of Bitcoin.

China's government want to suppress bitcoin that much. The statement of Haipo Yang is referring to China's bitcoin mining alone not mining as a whole. As he said  "... We have our own sync network. But if China gov say mining is illegal, we are f*****". If this does push through the bitcoin mining in China will surely fall. Hence, making other countries want to invest in mining since one of its major player is down even it is not that profitable.

Most miners are in China and while there are miners in other countries a ban of mining will cause a lot of trouble, also it is not like those that operate bitcoin mining facilities can move their operations overseas so fast, they need time, they have a lot of equipment and then they need to move all this equipment to a different country and probably pay taxes on it, so it is not as easy to move to a mining operation to another country.

So what will happen if china stop mining or even declare it illegal ? Nothing, the rest of the world will keep mining and bitcoin will never be stopped.
The point to realize is that china is not the owner of bitcoins neither Chinese owns all bitcoins. So what china does do it for itself and his people, rest of the world is not effected by it in the long run.

Why would they ban it when they can simply co-oerce the miners to switch from bitcoin to another altcoin, one where they have control over the devs, the hash rate and can use regulation and co-ercion to force exchanges to prioritize it? They could even use regulation to create FUD, get everyone to dump it, accumulate it when its low, and then release new regulations and news to make it pump, putting them in charge of an extremely influential digital currency that could potentially threaten even bitcoin?

If anyone from the Chinese Govt is reading this I even have a suggested name for you to use- Bitcoin Cash.