A Crypto Blessing: China’s Plan to Ban Bitcoin Mining Will Work Wonders

[Ucy]

If all governments decide to go the Chinese  way, large scale miners would be doomed . I guess that is what will lead to true decentralization of mining and not one or two countries banning mining

[1715453613]

1715453613

[superstarbtc]

Cryptocurrency is turning towards POS so if China ban mining still it might work out moving to other countries and staking based projects will get implemented

[vixcious]

Is this considered a blessing? I do not think that. The miners have solved a lot for the trading volume in a day for us and they are very influential. if the miners in China do not do business anymore, perhaps the transaction fee of Bitcoin will increase very high in the near future.

[sheenshane]

China had this great dream since day one. By yuan being as famous a US dollar. They had dreamed of having yuan as a global currency and they strive their best to achieve it. Bitcoin was banned in China because it would affect the value of their own currency. Decentralized currency would affect a country's national currency and that is the reason why they are regulating it.

One of the reason as well is that mining bitcoin will require a lot of energy source which China will be able to use on industrial instead.
I've heard about a person who stole electricity from his neighbors to mine and that is one of the minor things that affected the decision of Chinese regulators.

[whirlcoin]

The National Development and Reform Commission (NDRC) revealed its intent to eliminate the bitcoin and crypto mining sector immediately in its guidance for adjustments to industrial structure published on April 1.

The list of sectors that will be encouraged, restricted and eliminated will undergo a public consultation period until May 7 according to the report of SCMP, and as such, mining facilities in China are likely to be able to operate throughout the next month or two.

If after the public consultation phase the NDRC and the government of China move forward with the current plans to shut down the bitcoin and crypto mining sector, it would signal the end of the most dominant bitcoin mining region.
Why It Could be Good For Bitcoin and Crypto

The potential imposition of a ban on crypto mining may lead to the decentralization of mining across the global mining market and encourage miners based in China to move to foreign countries.

“Bitcoin mining will no longer be dominated by China but become more decentralized,” a Beijing-based cryptocurrency research company analyst Michael Zhong told SCMP, emphasizing that Chinese miners in Yunnan and Sichuan would have to leave.

For many years, major mining pools based in China in the likes of BTC.com and Antpool, some of which are operated by Bitmain, have had dominance over the hash power of the Bitcoin network.

As a proof-of-work (PoW) blockchain protocol, the Bitcoin network needs computing power to verify transactions and broadcast data to the Bitcoin blockchain network.

As of April 9, BTC.com and Antpool alone have over 31.5 percent of the hash power of the Bitcoin network, both of which are subsidiaries of Bitmain.

CCN | https://www.ccn.com/chinas-bitcoin-mining-ban-plan-good

the first impact from the China will be not separate because they are even planning to make their own cryptocurrency more powerful so I think it is not been worry everything because every country should not need to accept this.

[Vishnu.Reang]

My opinion is that there will be no cardinal ban. The Chinese government is not so stupid as to deprive yourself of income, it seems to me that they agree with the miners and will find a common compromise.
P.S. may end up simply raising the price of electricity ...

I am also thinking similarly. The government will not gain anything by banning Bitcoin mining. Thousands of Chinese nationals will lose their jobs, the government will lose tax revenues and many smaller companies will become bankrupt.

[finaleshot2016]

Well, China has enough and good economic rate and that country is full of business. They don't want to take an advantage of cryptocurrency since it might affect the growth of their economy. I think there is a hidden agenda that they want to commit for a better economic. They don't want to take an advantage the advanced technology that we had today. They're aiming to be the top and wanted to surpass the bitcoon.

[Oceat]

If all governments decide to go the Chinese  way, large scale miners would be doomed . I guess that is what will lead to true decentralization of mining and not one or two countries banning mining

Yeah, but luckily it is just the Chinese government banning and their main reason is because of the power consumption of those miners. They should find a better place in other countries for their miners if they wish to continue their business of mining Bitcoin.

My opinion is that there will be no cardinal ban. The Chinese government is not so stupid as to deprive yourself of income, it seems to me that they agree with the miners and will find a common compromise.
P.S. may end up simply raising the price of electricity ...

Even if they raise the price i think their electricity supply is not enough for the whole city to sustain for a long time. They may be suffering from power loss due to these miners operating everyday.

[Hydrogen]

Events like china threatening to ban bitcoin mining occur everytime the price of bitcoin spikes. Its an amazing coincidence bordering on market manipulation. Almost as if there is a widespread agenda in place created to contain bitcoin's market value and prevent bull runs like the one which occurred in 2017. The timing of news releases such as accusations of tether "manipulating" crypto markets coincides with an upswing in btc price followed by an immediate downturn.

Crypto mining typically targets under-utilized sources of energy below market value premiums. The mobility of bitcoin mining, limited only by a fundamental requirement for internet connectivity means an overwhelming majority of bitcoin minining is powered by energy sources in untapped areas where there is a massive surplus of power which otherwise would not be consumed. This means nations like china gain nothing by banning bitcoin mining. It will free up energy but said energy was untapped in areas where there was no consumption, which changes nothing aside from greatly limiting commerce.

[Unblock_news]

China lists cryptocurrency mining among backward processes, technologies, equipment and products that should be eliminated.

Full article here: https://www.unblock.news/technology/china-seeking-to-eliminate-cryptocurrency-mining

[bitbunnny]

If all governments decide to go the Chinese  way, large scale miners would be doomed . I guess that is what will lead to true decentralization of mining and not one or two countries banning mining

I don't think that majority of governments will follow China and ban mining. Also, such threats are coming form China for a long time now but nothing substantial is actually happening. Even if they do that Chinese miners will find other way to do their business, I'm not afraid of that.

[nur rochid]

If all governments decide to go the Chinese  way, large scale miners would be doomed . I guess that is what will lead to true decentralization of mining and not one or two countries banning mining

I don't think that majority of governments will follow China and ban mining. Also, such threats are coming form China for a long time now but nothing substantial is actually happening. Even if they do that Chinese miners will find other way to do their business, I'm not afraid of that.

right, there are still many other big countries that are on par with China, of course they have their own attitude in mining, I am determined, even though in China it is prohibited, of course the Chinese people will look for ways to keep making money from this mining

[nc50lc]

Is this considered a blessing? I do not think that. The miners have solved a lot for the trading volume in a day for us and they are very influential. if the miners in China do not do business anymore, perhaps the transaction fee of Bitcoin will increase very high in the near future.

I suggest you to read the technical details about POW (mining).

There's no direct relationship between the number of miners and the number of solved blocks (and transactions) per day.
It will always be the average 1block per 10minutes or 144 per day unless there's a change in the network rules.

Even if there's no one (ASIC miners) left to mine but a single operating CPU, the average will still be 10minutes per block as the difficulty will be adjusted.

[Crypdon]

Even if they ban mining the chinese conglomerates are so big they can make deals with other countries and move their operations there. The central asia region springs to mind as they are rich in resources

[Osarman]

You mean only the bigger miners, cause small miners that are based in China wouldn’t be ready to leave their country just because they want to be mining Bitcoin, I don’t think so. Only those big companies that are mining cryptocurrency are the ones that will decide to move their companies to a different location and continue their work. Just my opinion .

[Shenzou]

Well Probably it is just an empty threat, maybe they say that they will ban it but actually not, do you really think that after all these years and with that many people who build tier whole life and their whole companies on mining crypto they will just quit, it may just be on paper and they won't actually shut down all the miners and pursue them, many people think that this is good and it will allow for more decentralization, but because of how there are a big percentage of the miners located in china it may lead to a lot of problems in the network, and it will affect bitcoin in a bad way.

[magneto]

The National Development and Reform Commission (NDRC) revealed its intent to eliminate the bitcoin and crypto mining sector immediately in its guidance for adjustments to industrial structure published on April 1.

The list of sectors that will be encouraged, restricted and eliminated will undergo a public consultation period until May 7 according to the report of SCMP, and as such, mining facilities in China are likely to be able to operate throughout the next month or two.

If after the public consultation phase the NDRC and the government of China move forward with the current plans to shut down the bitcoin and crypto mining sector, it would signal the end of the most dominant bitcoin mining region.
Why It Could be Good For Bitcoin and Crypto

The potential imposition of a ban on crypto mining may lead to the decentralization of mining across the global mining market and encourage miners based in China to move to foreign countries.

“Bitcoin mining will no longer be dominated by China but become more decentralized,” a Beijing-based cryptocurrency research company analyst Michael Zhong told SCMP, emphasizing that Chinese miners in Yunnan and Sichuan would have to leave.

For many years, major mining pools based in China in the likes of BTC.com and Antpool, some of which are operated by Bitmain, have had dominance over the hash power of the Bitcoin network.

Wouldn't they still be centralised if certain companies just decide to move to a more crypto-friendly country with more positive regulations, that also happens to have cheap electricity as a replacement of their mining activities in China? I'm sure that these mining companies are already thinking about this.

I'd say that "work wonders" is a huge exaggeration here. True decentralisation won't occur just because China bans mining, or whatever else.

Even if mining continues in China for a while more until the rules are finally enforced, I highly doubt that no one right now has been prepared for this new restriction to kick into effect. So if you say that it'll have a profoundly negative impact, then I'd disagree with you. But on the other hand, it doesn't have a notable positive effect either.

[South Park]

I think I will not ready to accept it right now because the chances of mining will not been possible in in these countries to develop their economy that's why they are not accepting it but mining is always giving you to the profit but is Chinese not accept it we cannot make their decision to change.

Bitmain already shutting down their mining in China since last year and I think we cannot stop the Chinese government from doing this, let’s just hope that it will not affect the market much again. There’s a great place for cryptos, we will find for that one and mining business will be good in time.

It is likely that we could see bitcoin suffering for the short term when this happens but I really think that this is for the better, it is interesting to me that something that is supposed to try to weaken bitcoin could in fact make it stronger, by forcing miners to relocate to other countries that could be more open to their operations the Chinese government is doing a favor to bitcoin because after most miners leave China they will not have as much influence as before over the market.

[akram143]

They will not do it suddenly because there will be lots of difficulties to make it possible because lots of people invest in Bitcoin also if these type of changes will happen in a country it will definitely affect the people also so the government will need to plan properly and execute it properly.

[mrdeposit]

My opinion is that there will be no cardinal ban. The Chinese government is not so stupid as to deprive yourself of income, it seems to me that they agree with the miners and will find a common compromise.
P.S. may end up simply raising the price of electricity ...

When they banned first time, they did not care. I do not think they will take things into consideration this time too. Check it, you will understand everything : https://cointelegraph.com/news/will-china-ban-crypto-mining