China Crushes 90% of Bitcoin Mining Operations in Nationwide Crackdown
Chinese authorities order the closure of major Bitcoin mining bases in Sichuan province, effectively shutting down over 90 percent of the country's crypto mining capacity.
Chinese authorities order the immediate closure of Bitcoin mining operations in Sichuan province, dealing a massive blow to the global cryptocurrency network. This latest directive requires local electricity companies to cut power to mining facilities and terminate 26 flagged projects by Sunday. The move effectively shuts down more than 90 percent of China's total Bitcoin mining capacity, as regulators across both northern and southwestern regions implement similarly harsh measures.
Despite hopes that Sichuan's abundant rainy-season hydropower might earn the region an exception, regulators apply a strict uniform approach to the crackdown. The provincial development and energy bureaus issue a joint notice that bans the approval of any new mining projects and demands thorough inspections of existing power grids. Observers note that this decisive action highlights the government's determination to eliminate speculative crypto trading and control financial risks, regardless of any minor economic benefits to local communities.
The sudden shutdown leaves industry insiders scrambling to relocate their mining equipment overseas as their window for operation rapidly closes. Many Sichuan-based miners report suffering huge financial losses due to the abrupt power cuts and lack of transition time. As Chinese-backed mining pools lose their domestic foothold, the massive exodus of computing power triggers a significant structural shift in the global cryptocurrency mining landscape.