The government of China‘s Inner Mongolia area is seeking public input on a draft legislation that would outlaw cryptocurrency mining farms.
The government of China‘s Inner Mongolia region is seeking public input on a proposed regulation that would shut down all crypto mining operations in the region. Last week, the Inner Mongolia Development and Reformation Commission (DRC) issued a proposal on a variety of regulatory measures aimed at assisting the region in achieving energy-saving targets set out in China’s 14th five-year economic plan, which runs from 2021 to 2025.
The plan aims to clean out and shut down all cryptocurrency mining activities.
The Chinese government agency’s plan aims to clean out and shut down all crypto mining ventures by the end of April 2021 as part of a program to eradicate industries that consume too much electricity. The plan also aims to better regulate the development size of data centers and forbids the construction of any new virtual currency mining ventures in order to speed up the restructuring process for energy-intensive industries. After Sichuan and Xinjiang, Inner Mongolia is the third-largest area in China where bitcoin mining farms will be located, depending on local fossil power plants.
Around the world, authorities are tightening crypto regulations.
Following the recent huge winning rally in bitcoin and other cryptocurrencies, governments all over the world have expressed their concern about the increasing crypto industry. The Indian government is also preparing to ban all cryptocurrencies in the country soon, as previously reported. A new anti-crypto is reportedly planned to be introduced in the parliament that proposes to ban cryptocurrencies. Janet Yellen, the former Federal Reserve Chair and current US Treasury Secretary, cautioned that cyberattacks and digital currency-related crimes were on the rise during a financial sector innovation policy roundtable. Several other regulators from across the world have voiced their concerns about cryptocurrencies.