Sichuan

After rising electricity demand and low rain, bitcoin mining operations in Sichuan, China have been restricted. How is the network responding?

Chinese regulators in Inner Mongolia have issued a notice calling for a stop to bitcoin mining operations in the region.

Rampant flooding in China’s Sichuan province has had a catastrophic effect on some of the world’s leading bitcoin mining operations.

Although China has shut down bitcoin trading platforms, its attitude toward bitcoin mining is still ambiguous. Now, 70 percent of the world’s bitcoins are produced in China, especially along the Dadu River, where there is plenty of hydropower.

Profits earned from bitcoin mining have seen a clear rise since the start of April 2019 and hit a near half-a-year high on April 15, 2019.

The wet season in Sichuan can drop electricity costs, and therefore bitcoin mining costs, dramatically. But according to insiders, there is currently more supply than demand in the mining market.

Under the right circumstances, cryptocurrency mining can produce a minimal carbon output. Moreover, its energy emissions can be recycled for other eco-friendly endeavors.