China to restrain mining

[DustyRah]

Please read below article. I for one think that China completely leaving the Bitcoin world would be great so we can stop running across their pathetic rule changes.

https://www.reuters.com/article/us-markets-bitcoin-china-mining/china-central-bank-can-tell-local-governments-to-regulate-bitcoin-miners-power-use-source-idUSKBN1ES0TD

[pawel7777]

China’s central bank told a top-level government internet finance group that the monetary authority can tell local governments to regulate the power usage of bitcoin miners to gradually reduce the scale of their production, a source said.

Rather good news. "Gradually" is the key word, they don't intend to force miners to shut down immediately, just to cap their power usage over time.

That would be a shift in mining power, China will be gradually losing its % of hashpower, which is probably a good thing.

I completely don't understand the decision of Chinese government, by having majority of BTC hashpower on their territory - they have some sort of control over BTC (they could take over and attack BTC if it ever become a threat to them). Are they really that concerned that power consumption can get out of hand and cause shortage?

[BitHodler]

Are they really that concerned that power consumption can get out of hand and cause shortage?

It's probably them just looking to banish Bitcoin from their country completely. In reality their actions have an opposite effect since the tiny bit of control they could have had, will be gone completely after a while.

Their paranoid has taken such severe forms throughout the years, that there is no such a thing as rational thinking anymore. I think they are okay with it as long as the majority of their population can't access Bitcoin anymore.

The small minority that will look for alternative ways to access Bitcoin will be seen as collateral damage. They must know that it's impossible to completely ban something as Bitcoin, so they are okay with let's say 90%.

As long as the majority of the population's attention can be distracted away from Bitcoin, it's already a victory for them.

[vit05]

That is old news. People have already explained that China has some major power plants in locals that do not attract so many industries so it is great for the country put some Bitcoin Farms there.

[cellard]

What an start for 2018, we are obviously recovering and your chance to buy back in is now over (if you wanted the best spot, you still have time to buy back in before we go back to all time high)

There's an ascending triangle forming were we are going higher on each correction ($11186, $12061, $12808... notice it corrects increasingly higher)

Wouldn't be surprised to see $20000+ in a week or two.

The China news are good. Anything that makes it difficult for China to mine is good news.

[jseverson]

It's weird how they're regulating mining's power use though, rather than mining itself. If their plan really is to reduce and hurt mining, this is a rather roundabout way of doing it. This seems like it will have more loopholes and such. Is the writer sure China simply doesn't want to regulate its overall power consumption? It's just weird.

I don't have any strong feelings regarding China's position in the Bitcoin market, but I would prefer the hashrate to be distributed among countries better. We need every country if we want Bitcoin to reach mass adoption.

[talkbitcoin]

good luck with that...

seriously, someone shared a very interesting video here some time ago about this. the level of corruption is ridiculous in China in a way that they can not do anything about bitcoin mining even if they wanted to.

the government officials are earning a living from the bribes, the power plants are staying alive, there are small cities with jobs and food on their table because there is a mining farm and a power plant alive there that they can work at and make a living, and lots more... government can not just go in and shut it down

[Drixy]

Please read below article. I for one think that China completely leaving the Bitcoin world would be great so we can stop running across their pathetic rule changes.

https://www.reuters.com/article/us-markets-bitcoin-china-mining/china-central-bank-can-tell-local-governments-to-regulate-bitcoin-miners-power-use-source-idUSKBN1ES0TD

Marked that country as opposing to Bitcoin. We know that it wont be that much of a difference i know it will probably slow the mining process of Bitcoin but i think theres so many miners around the world about the rivalry about them is the one that sometimes Transactions are easy. China wont matter to us but one things alarming me that maybe little by little some country will try to copy what China has done and its irritating.

[ha_ham_bk]

Please read below article. I for one think that China completely leaving the Bitcoin world would be great so we can stop running across their pathetic rule changes.

https://www.reuters.com/article/us-markets-bitcoin-china-mining/china-central-bank-can-tell-local-governments-to-regulate-bitcoin-miners-power-use-source-idUSKBN1ES0TD

I think China will participant this event

[fabiorem]

Bitcoin will also gradually move away from mining. See what happened with the beecash clash, that long drop was caused by high fees, and those because of miners going to beecash.

If LN allows for zero fees to buy small things, the mining cartel will be done, they will have to move to another coin, and those China restrictions will apply mostly for beecash and whatever other coin they will be mining.

[candy27]

Please read below article. I for one think that China completely leaving the Bitcoin world would be great so we can stop running across their pathetic rule changes.

https://www.reuters.com/article/us-markets-bitcoin-china-mining/china-central-bank-can-tell-local-governments-to-regulate-bitcoin-miners-power-use-source-idUSKBN1ES0TD

It doesn't really matter because Japan's ISPs have expressed an interest in large scale bitcoin mining.

Also, nothing to stop the Chinese miners setting up operations in the rest of the world.

[littlebill16]

Please read below article. I for one think that China completely leaving the Bitcoin world would be great so we can stop running across their pathetic rule changes.

https://www.reuters.com/article/us-markets-bitcoin-china-mining/china-central-bank-can-tell-local-governments-to-regulate-bitcoin-miners-power-use-source-idUSKBN1ES0TD

This can be seen as a good thing for a number of reasons, firstly it reduces the energy being used to mine bitcoin which is good for the environment, secondly it can start to cut in to China's monopoly when it comes to mining bitcoin.

[audaciousbeing]

That is old news. People have already explained that China has some major power plants in locals that do not attract so many industries so it is great for the country put some Bitcoin Farms there.

Its actually not an old news because the article was published just yesterday on the website.

Please read below article. I for one think that China completely leaving the Bitcoin world would be great so we can stop running across their pathetic rule changes.

https://www.reuters.com/article/us-markets-bitcoin-china-mining/china-central-bank-can-tell-local-governments-to-regulate-bitcoin-miners-power-use-source-idUSKBN1ES0TD

This can be seen as a good thing for a number of reasons, firstly it reduces the energy being used to mine bitcoin which is good for the environment, secondly it can start to cut in to China's monopoly when it comes to mining bitcoin.

I have always maintained that China is not done with bitcoin at least not when the majority of the mining activities is being carried in that part of the world and that is one major part of bitcoin that is key in either making more bitcoin to the market, or even ensuring transactions are carried out as at when due.

The fact is mandating locals to regulate the use of electricity is just a step to what they are intending to do because I am sure a lot of miners would still be able to cover the cost of the electricity and the real advantage of China is really not the electricity but the natural environment which they have advantage over. In essence, by the time this option did not work, their end game would be banning it all together just like they did for ICOs and exchange sites.

[millensharon8]

Not like I am surprised and everyone who understands the kind of socialist form of government that China has always had, will know that bitcoin's existence and activities regarding cryptocurrency in China is a threat to their monetary policies and they will keep doing everything to make it uneasy for crypto investors in the country to partake in the crypto world. Their attack on mining on the other hand will even bring some goodies to the world of mining as far as I am concerned.

[Kemarit]

Please read below article. I for one think that China completely leaving the Bitcoin world would be great so we can stop running across their pathetic rule changes.

https://www.reuters.com/article/us-markets-bitcoin-china-mining/china-central-bank-can-tell-local-governments-to-regulate-bitcoin-miners-power-use-source-idUSKBN1ES0TD

If this is true then what we are really expecting is becoming a  reality. Starting with a banned on ICO then shutting down their local exchanges, it seems logical that they really want a total ban on bitcoin, mining farms should be the next target. In a sense, this is good because they have been manipulating it for the last 8 years or so and its better to have another nation to rise up and fill the void like Japan. GMO are already building its own mining hardware so I would assume that they will also be involving themselves in bitcoin mining. But it remains to be seen though. The only affected party here is definitely those mining workers who stop farming and shift to bitcoin work. I'm sure that they have made lots of money already, but closing or reducing mining farm would really affect a lot of Chinese specially in the provinces where bitcoin mining sprung up. Although it can affect the market price significantly, but I tend for long term if will be good for the ecosystem.

[el kaka22]

What an start for 2018, we are obviously recovering and your chance to buy back in is now over (if you wanted the best spot, you still have time to buy back in before we go back to all time high)

There's an ascending triangle forming were we are going higher on each correction ($11186, $12061, $12808... notice it corrects increasingly higher)

Wouldn't be surprised to see $20000+ in a week or two.

The China news are good. Anything that makes it difficult for China to mine is good news.

The funny thing is that whatever they are doing in their own country to cause a problem for the users of bitcoin would really end up improving the bitcoin network at the end. If they want to lay a huge hold on the mining hash power, then that to me is a good call for them, and at least mining power will shift from China and probably get spread as that has become so absurd.

China has a communism and socialism environment, so I am not surprised and really just like OP said, I just cannot wait for them to get thrown out of the crypto community to at least give us some room to breathe.

May be if they even tag down on the miners by making life difficult for them, probably that would give some of use a chance to venture into mining as ASIC would rather go cheap and probably reduce the difficulty a little bit.

[btcmayumana]

This is old news, in fact China can not escape from Bitcoin itself. Although they prohibit the use of Bitcoin in their country, there are still many miners who open their power plant in China to mine bitcoin. The government does not seem to want to ban it entirely just to take realistic profits from a business, because it will be very difficult for the government to controlling advantage of the private wallet of the Bitcoin holder itself.

[dothebeats]

About time to actually decentralize the mining scene again and open up opportunities to other aspiring miners as well. I for one believe that China has too much "control" over bitcoin that has left the said coin with too much weakness, especially on the transaction sides and whatnot. Rogue miners that intentionally excludes transactions on their block also hail from China, causing problems to the average and business users alike. They will just move their machine into somewhere safe and bitcoin friendly, though I doubt that their power on the mining industry will remain like where it is now when the move happens.

[richardsNY]

This is old news, in fact China can not escape from Bitcoin itself. Although they prohibit the use of Bitcoin in their country, there are still many miners who open their power plant in China to mine bitcoin. The government does not seem to want to ban it entirely just to take realistic profits from a business, because it will be very difficult for the government to controlling advantage of the private wallet of the Bitcoin holder itself.

The Chinese government hasn't really banned Bitcoin in any way -- people there can still use Bitcoin. It should be seen as prohibiting services from transacting with Bitcoin in any shape or form. It's not for nothing that the peer to peer market in China has literally been exploding. People themselves can and will buy themselves into Bitcoin, which is something that even a potential total ban can't even do anything about. If China wanted to ban Bitcoin entirely, they would have done it already. I have seen an interview of BTCC Ceo stating that China might at some point revert its previous actions against Bitcoin, but that it might take years if they ever plan to really do so.

[BitHodler]

I have seen an interview of BTCC Ceo stating that China might at some point revert its previous actions against Bitcoin, but that it might take years if they ever plan to really do so.

I hope not. I am quite sure that the majority of the people here are happy that China's role in this market has diminished to the absolute bottom in a fairly short period of time. They are nothing more than an obstacle.

Just think back at how much of a problem they have been each time the market was increasing. It always was just a matter of time before they announced something that would then cause the market to plummet.

People thought that China's partial exit would result in severe problems for this market, but guess what, we have done better than ever before from the moment Chinese exchanges were forced to shut down. I am happy.