China bans mining is good for Bitcoin

[Vishnu.Reang]

During the past several years, I have seen several posts here claiming that China is about to ban Bitcoin trading and mining. And on every occasion, it was proved to be fake news later. Even I am not comfortable with China accounting for the lion's share of mining hash power. But despite that monopoly, there have been no attempt by the mining pools to user their monopoly for anything that could harm the reputation of Bitcoin. And I don't think that the situation will get any better, in case the hash power gets distributed across the globe.

[BrewMaster]

if some day China banned bitcoin for reach it would be awesome for bitcoin because it would put an end to one of the oldest FUDs that we keep hearing every time bitcoin price rises. then market manipulators have to think about something new because bitcoin would be banned already in China and they can't reuse it again.

but since China never bans bitcoin, the manipulators keep using it again and again and newbies fall for it every time

[stompix]

It could break down China's total monopoly, as there could be nations specially in Europe can will continue bitcoin mining.

Neah, Europe is not a place for large mining farms.
You can still get pretty good deals for medium business, as I've managed to get the last motnh, where you can stick up to 10 miners but no way in hell you're going to get 3-4 euro cents when we talk MW not home business KW, even in the eastern parts of the EU the normal prices have one over 10 cents. Imagine the uproar in Germany when the population paying 20ecents/kwh finds out miners are paying so little. And if you think Iceland, unfortunately, all of Iceland barely produces enough energy to host 10% off all the mining.

in russia, as we know, the government provides good discounts on electricity for the organization of mining, especially given the good relations between the two countries, they may well conduct their activities in russia.

They are no providing discounts for miners, they are simply allowing them to consume cheap energy Russia has in excess in some areas, once the mining operations there will start to put a strain on the grid they will simply turn the tap off, it makes zero sense to subsides electricity this way, the gas price in Venezuela should have proved a lesson for every state that throwing away money doesn't lead to prosperity. And this scenario happens in China, nobody cared about mining till it got too big, the in Iran as they didn't care either till it started causing problems and Russia will be just like the others when it grows too big it will kick them out.

It's really bad timing, ironically the dump in price is keeping the energy consumption at bay, if the price skyrockets over 100k this year or even 200k before the halving, things will start getting nasty, really nasty.

[Rebdoomer]

China ban mining is a good thing for the rest of the world to have an advantage over China. Thanks for the self sabotage China.

[Hydrogen]

Semiconductor shortages could make it harder to replace hash rate lost off the china ban. If semiconductor production associated with GPUs and ASICs fall. Simple supply and demand says semiconductor costs associated with crypto mining rigs could climb. In addition to this, we have manufacturers of SSDs / HDDs threatening to void warranties if storage units are utilized to mine chia coin. This trend if expanded could apply further pressure to the crypto mining industry in the future. Not to mention the potential of ASIC manufacturing in china having a relevant impact.

Those trends aside, it is possible china's mining ban will have only a limited short term effect. As china's previous bans relating to bitcoin were temporary.

Crypto mining being centralized in china over a longer period might have made it possible for more long term negative effects. In that china could be doing HODLers a favor by exiting the market. And passing the reins of influence on to others who will try to fill the vacuum left behind.

[Sithara007]

Neah, Europe is not a place for large mining farms.
You can still get pretty good deals for medium business, as I've managed to get the last motnh, where you can stick up to 10 miners but no way in hell you're going to get 3-4 euro cents when we talk MW not home business KW, even in the eastern parts of the EU the normal prices have one over 10 cents. Imagine the uproar in Germany when the population paying 20ecents/kwh finds out miners are paying so little. And if you think Iceland, unfortunately, all of Iceland barely produces enough energy to host 10% off all the mining.

Tax rates are way too high for Bitcoin mining operations to be successful in the EU (at least in the old EU states such as Germany and France). To start with, the electricity rates are way too high. And then the mining hardware is extremely expensive due to the very high import duty. And the corporate taxes are also some of the highest in the world. There are countries such as Estonia, where the electricity is cheap (around $0.06 per KWh), but even there the taxes are quite high. And if I am not wrong, Germany has the most expensive electricity prices in the world ($0.36 per Kwh).

[ilovealtcoins]

If the mining machines and computing power are in the hands of Bitcoin's HODL, it will be beneficial to the entire Bitcoin ecosystem. The Chinese government will eventually realize that Bitcoin cannot be banned, but the lost mining machines and computing power cannot be recovered.

What is unrecoverable computing power? The sale of equipment was in the minds of the miners. They only sell old equipment and make sure that new equipment with better mining performance, more energy-saving will be replaced.
That is also the reason the hash rate always increases over time. Chinese miners are very aware of their profits from mining and the Chinese government is just a liar. They have been quietly supporting miners for years so they will continue to do so. Prohibited statements are blindfolded.

[Shenzou]

We have been hearing about china banning bitcoin for years now, and every time the rumor comes out the price drops and after a while things go back to normal, i don't think that china is actually able to completly ban the mining of bitcoin, sure they can lay down harsher crackdown on it but poeple would still do it because of how large it is, i feel like the news about tesla no longer accepting bitcoin due to enviormental impact has more effect on the price than china banning, because if you think about it the miners that we will lose from china could be easily replaced but a big company saying that bitcoin is bad and will no longer use it do to bitcoin mining having bad impact on the enviorment is gonna take a long time to chnage that idea.

[Ebede]

Anytime we see news of cryptocurrency we should understand it deep very well. Some of the news happen in another way but will be reported in another way to take advantage of the market too. The China banning to me can be like regulations. It might not mean that the whole building is brought down or the mining centre closed down.

[noorammak]

The news about China's Bitcoin mining ban has been frequently mentioned many times over the years and the truth is that only miners know it. The Chinese government has quietly let miners mine Bitcoin for years, and they know how beneficial that can be. Bitcoin mining equipment is largely made in China.

The problem of the computing power of the Bitcoin network may decrease but then it will continue to increase because Bitcoin mining is very profitable. Part of the new devices coming out has more efficient mining technology so I believe the hash rate will always grow.

[nightxglow]

There is a reason why most miners are in china, it's the matter of cost, and china is the suitable place. although of course, moving it is doable, but it doesn't seem as easy as said. We need more time again, to make things back into normal if chinareally bans all mining in that country. Finding new places and transfering them won't be done just in a blink of an eye. although it might be good to do since we don't know when china will really make an act and the situation goes worse. However, i think we shouldn't worry about it too much.

[Harlot]

A ban in crypto mining in China will give more problems towards Bitcoin other than a price fall for it. We are talking about more than 60% of Bitcoin's hashrate suddenly disappearing temporarily and this will cause a lot of problems with Bitcoin's blockchain network resulting to unconfirmed transactions and higher fees just to complete one. Asking if a ban will realistically happen I can say that it has a small possibility to do so because for one if this is all about Inner Mongolia's decision to ban mining I don't think this decision will spread out to the other regions of China.

[kiki8899]

China's ban on mining is good in itself, and the market ahead is not so good, but I believe it will get better in the future. It will break the number one power country and spread it to North America, which is beneficial to the blockchain.

[Roy Asher]

Since Chinese mining pools currently account for more than half of the world's total Bitcoin mining capacity, when the Chinese government issued a ban on mining, it immediately attracted widespread attention in the industry. However, the impact of China's ban on Bitcoin mining may not be so severe. Although a large amount of computing power and some of the largest mining pools in the network come from China, in fact, China is not the core hub of Bitcoin network nodes. In fact, only 3.18% of Bitcoin network nodes are located in China. If the regulator finally decides to issue a ban, then China's computing power will naturally be redistributed to other countries. At present, mining is mainly concentrated in China because China's electricity bills are relatively cheap, but countries such as India and Indonesia can also provide the same average electricity prices.

[Jenny Z]

Bitcoin mining is a decentralized process. Miners leaving China's large mining pools will not have much impact on Bitcoin mining. What's more, some domestic mines have moved their mining machines to Iran and other Middle Eastern countries that generate electricity from natural gas resources to obtain cheaper electricity prices. In this process of circulation, the mining industry, which was once criticized as centralized, has gradually shown a trend of decentralization geographically due to cost and profit considerations. Although the ban on mining will undoubtedly have a huge impact on China's mining industry and is likely to kill the entire industry overnight, the global Bitcoin network will continue to move forward. Miners’ shifting positions may bring some minor problems, and mining costs may increase slightly in the short term. However, in the long run, China’s ban on Bitcoin mining is unlikely to cause serious problems to the global Bitcoin network.

[baeva]

These stupid Chinese, or rather those sitting in government. They have repeatedly expressed themselves about the ban on m. But nevertheless, this issue was constantly postponed to later. Especially since they're also draining bitcoins... ohmm, there are no words