Chinese Inner Mongolia steps up crackdown on cryptomining
SHANGHAI, May 25 (Reuters) – China’s northern region of Inner Mongolia stepped up a campaign against cryptocurrency mining on Tuesday, issuing draft rules to stamp out the business, days after Beijing s is committed to cracking down on bitcoin mining and trading.
The Inner Mongolia Development and Reform Commission said in the proposed rules that telecom companies and internet companies that engage in cryptomining will have their business licenses revoked by regulators.
He also said authorities would introduce stricter energy-saving requirements for industrial parks, data centers and power plants that supply sites or electricity to miners.
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Inner Mongolia had already announced in March that it would halt all cryptocurrency mining projects as part of efforts to meet energy efficiency targets. The moves come amid renewed efforts by China to curb speculative cryptocurrency trading. Read more
On Saturday, a State Council committee led by Chinese Vice Premier Liu He pledged to crack down on bitcoin mining and trading. Last week, three industry bodies banned financial and payment services from trading virtual currencies, triggering a sell-off in the market. Read more
Inner Mongolia said it would respond to calls from the State Council to further clean up crypto mining activity in a bid to cleanse the big data industry and prevent financial risks.
Cryptomining is big business in China, accounting for more than half of the global crypto supply. But the energy-intensive process runs counter to Beijing’s goal of carbon neutrality, some analysts say.
According to Tuesday’s draft rules, if large data centers and cloud computing firms engage in cryptocurrency mining, regulators would roll back any preferential policies they enjoy and kick them out of Mongolia’s multilateral power exchange market. interior.
Companies and individuals who fundraise using cryptocurrencies would be penalized under China’s anti-illegal fundraising rules, according to the draft measures.
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Shanghai Newsroom Reporting Editing by Nick Tattersall
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