Why a region in China declared war on bitcoin miners

Why a region in China declared war on bitcoin miners

From now on, cryptocurrency mining will be banned in Inner Mongolia, which is home to large coal mines and a favorite among miners along with Sichuan and Xinjiang regions. Because of lower electricity prices.

The National Development and Reform Commission of the Asian giant has included bitcoin mining on its list of industries that should be eliminated, due to the energy consumption it needs.

The “miners” who allow the creation of new Bitcoins, by independently verifying and recording every transaction that are executed, require enormous computing power and the use of computers that use large amounts of energy.

For example, The Bitcoin network consumes more energy annually than all of ArgentinaWhen presenting a study, the University of Cambridge stated that the energy used could be measured by the cryptocurrency system.

British House of Higher Education launched Cambridge Bitcoin Electricity Consumption Index (CBECI for English acronym), an index that provides a real-time estimate of the total annual electricity use of the Bitcoin network and allows direct comparisons to alternative uses of electricity to put the numbers into perspective.

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