After China's crackdown on crypto, three tons of bitcoin machines from China are airlifted to Maryland
A Chinese logistics firm is flying 3 metric tons of bitcoin mining machines to Maryland. It is accepted by the Chinese government to crack down on the industry. Bitcoin dipped under $30,000 for the first time since January. This news flashed on 21st June’21. It is coming during fears that China, the world’s biggest Bitcoin mining country has banned cryptocurrencies.
The CNBC snaps fit into an evolving narrative of bitcoin’s exit from China, but the Fenghua shipment represents a very small load, Heller informed. The current crackdown on bitcoin mining includes partial bans on the industry in numerous provinces.
Fenghua International Transportation, a Guangzhou-based logistics company that distributes tons of goods around the world for clients. The company a moment ago posted a video on its WeChat channel screening it is loading hundreds of boxes of bitcoin mining machines onto a truck headed to an airport in China.?
This makes the Chinese government’s crackdown on the bitcoin mining industry happens. This happens within its territory resulting in mining farms winding up in the whole regions of the country. The campaign also know that prevent new mining centres from being set it.
The Chinese crackdown-
The Chinese government specified the reason for the winding up of mining farms was their insane energy consumption. Bitcoin consumes more power each year for mining than the country of Netherlands, experts say. The crypto mining industry is still applying fossil fuel energy which is a big provider of greenhouse gases and pollution, accounting for 70% of the total production in the world.
Is the U.S. the new mining hub?
It is tough to regulate where most of the miners affected by the crackdown will set up shop next. The news about the shipment of mining rigs to the U.S. does not essentially mean they will be set up there.?
The U.S. may not have the maximum electricity charge, but it doesn’t have the lowest. It is migrating operations there could mean an important rise in energy costs that miners would bear.
CBW - External Analyst