China Securities Journal reported that more than 20 cryptocurrency companies are leaving the Chinese market due to a new set of strict regulations
According to major news outlet China Securities Journal, the new China crypto ban is driving more than 20 companies working in cryptocurrency-related spheres (trading, mining, etc.) out of mainland China.
Among them is the largest stock exchange in the region – Huobi. Besides, the autonomous region of China, Inner Mongolia, has recently shut down 45 crypto mining projects.
More and more exchanges and minors are leaving China
China’s new cryptocurrency ban was officially announced in September with smaller preliminary bans, mostly against crypto miners, which took place earlier this year since May, when Elon Musk tweeted that Tesla was shutting down. accept Bitcoin for its carbon footprint issues and said BTC miners should switch to renewables.
Chinese authorities then followed suit but on a much larger scale, starting to suppress crypto mining companies in their local energy hubs.
Today, according to the China Securities Journal, as of October 7, more than twenty companies working with crypto have announced their firm intention to withdraw completely from the Chinese market, as all cryptocurrency transactions have been condemned as illegal.
As reported by U.Today earlier, on Sept. 24, Huobi exchange halted the registration of new user accounts. Two days later, he announced an upcoming withdrawal. However, according to Chinese crypto journalist Colin Wu, this decision was made a day before the crypto ban was announced.
BiKi, BHEX, CoinEx and Renrenbit are following suit. Huobi has urged its clients to move their funds to other platforms and wallets, promising to stop operating in mainland China completely by the end of December.
On September 24, Ethereum’s largest mining pool, Spark Pool, also elected to stop working with Chinese users. As did NBMINER—the company that produces software for mining machines.
Inner Mongolia seizes 10,000 mining machines
Other Chinese media reported that authorities in Inner Mongolia, an autonomous region of China, seized 10,000 cryptocurrency mining machines. Up to now, about 45 mining crypto mining projects have been shut down in the region. In theory, this saves 6.58 billion kilowatt-hours of electricity per year – 2 million tonnes of coal burned.
