Chinese state planner wants to eliminate bitcoin mining, reports a draft list of industrial activities the agency is looking forward to stop in a sign of growing government pressure on the cryptocurrency sector.
On Monday, the NDRC (National Development and Reform Commission) said that it was seeking opinions of the public on an updated list of industries it wants to encourage, eliminate or restrict. In 2011, the first last was published.
The draft for the updated list added cryptocurrency mining, including that of bitcoin, to as many as 450 activities the NDRC said should be positioned as they didn’t adhere to relevant laws and regulations, wasted resources and were unsafe as well.
It didn’t specify a target plan or date for how to ban bitcoin mining, means to phase out such activities immediately, reads the document. The public are allowed to comment on the draft until May 7.
Today, the state-owned newspaper Securities Times said that the draft list “distinctly reflects the attitude of the country’s industrial policy” towards the cryptocurrency industry.
Since 2017, the cryptocurrency sector in China has been under heavy scrutiny, when regulators began to eliminate initial coin offerings and shut down local cryptocurrency trading exchanges.
China has started to limit cryptocurrency mining, forced many firms, among them include some of the world’s largest- to find its bases elsewhere.
China-based companies are also among the biggest manufacturers of bitcoin mining gear. In 2018, sources reported that at least three were looking forward to raise billions of dollars with initial offerings in public in Hong Kong. However, Canaan Inc lets its application to lapse.