One of the world’s largest bitcoin (BTC) mining hardware manufacturers, Bitmain, will no longer supply miners to Chinese addresses. Which announces the company today. “Actively responding to the local government policies of the company’s entities has always been Bitmain’s business strategy,” Bitmain said.
China increased the pressure on the crypto market this year by banning crypto mining. This caused a huge migration of miners from China to other countries, which also caused some panic in the markets. Recently, China went one step further by announcing its intention to ban all crypto transactions.
Bitmain adheres to the strategy of the Chinese government, the announcement reads:
“Strict compliance with the laws and regulations of the locations of the company’s entities is the operating principle that Bitmain has always adhered to. From October 11, 2021, Antminer will stop shipping to mainland China.”
For Bitmain itself, it doesn’t seem to matter much. The Chinese market is no longer his largest sales market. In 2017, 50% of the profit came from sales in China, in 2018 this decreased to 40%. This percentage has only fallen further in recent years due to the emerging mining industry in other countries such as the United States. The recent Chinese crypto mining ban actually locked the door to the Chinese market completely for Bitmain.
Chinese mining industry on the brink
The new direction of the Chinese government has ensured that the country is no longer the epicenter of the mining world. For a long time, the country was the largest producer of computing power, often raising concerns about centralization. But those concerns now appear to have been allayed as the country’s mining industry is on the brink.
Previously could be read on Crypto Insiders that two major ethereum (ETH) mining pools are closing their doors due to China’s strategy. They will have to completely take their platform off the air.
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