Inner Mongolia strictly reinforces Beijing’s Bitcoin mining ban

[kryptqnick]

Okay so after that bloody hell market last week and now we’re on a slight recovery phase, the bad news doesn’t stop related to China’s crackdown on crypto mining. just recently, Inner Mongolia has banned Bitcoin mining. It will force these miners to go offshore. This was published just an hour ago as of this time in replying to this post.

Source: https://www.scmp.com/tech/policy/article/3134909/china-bitcoin-inner-mongolia-reinforces-beijings-ban-mining-strict

In my opinion, I don’t think this would impact much of BTC’s price and we might remain under consolidation phase in which we are gonna trade sideways for a while. What is your assessment on this one guys?

Troubles with mining business might now affect the price significantly. Mining doesn't generate enough new coins to make miners significant hodlers affecting the market, and mining generally doesn't have much to do with the price dynamics, I believe.
If some miners are forced to leave, the difficulty rate will readjust soon. And as for big companies, I'm sure they have detailed plans for situations like the current one in Inner Mongolia, and they'll move or shut down temporarily. The threat of China restricting mining operations or even fully banning them has been in the air for years, so I'm sure that miners are well-prepared.

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[dkbit98]

As I said before, there are so many other countries that have similar or even lower electricity prices than China and miners will eventually move there or simply go underground in China.
We also know that youtube, twitter and some other platforms (who are now banning and censoring regular people btw) are banned in China but they use this services with vpn, and government can't do anything about that.
I heard latest news that Iran is also banning Bitcoin mining during this summer season to save electricity and reduce chances for restrictions, but they will continue as normal after that in autumn.

Chinese electricity is not cheapest in the world as you can see, but they are the source of asic miner chip production, that will still continue normally and easiest thing for miners would be to move to other neighbouring countries.
Even South American countries like Mexico and Argentina are very interesting for bitcoin mining but you can pick any country from list below showing prices for September 2020 for kWh per USD:


https://www.globalpetrolprices.com/electricity_prices/

[OcTradism]

When miners have to leave China, they will lose their best place with cheapest electricity resources (assume they have cheapest source in China), they will find other nations with higher cost. Not all nations in the globe have dictatorship like China or North Korea.

We can not predict what will happen with mining in the future or what regulation governments will do.

With one mining company, has farms in different nations is not bad. For the network, it is not bad. If one nation crack down the bitcoin mining, the company will have farms in other nations, the network will not lose all hashrate from that company.

If one big mining company moves to a new nation, there will be new mining company in that nation, it is not bad.