Regional reports say that officials from Inner Mongolia delineated 21 bitcoin mines, as the region plans to stop subsidized electrical rates for certain data firms. Unless the bitcoin mining facilities pack up and migrate, mining farms may see an electrical price increase by one third.
The Chinese newsdesk Weixin revealed that bitcoin mining farms located in Inner Mongolia will no longer be able to access subsidized electricity. A blockchain journalist based in China, Colin Wu, reports that on August 24, the Inner Mongolia Department of Industry and Information Technology issued an electrical policy notice.
A rough translation of the notice says it is called the “Notice on Matters Related to Mining Enterprises’ Participation in Inner Mongolia Electric Power Multilateral Trading Market.”
The Weixin report notes that at the end of 2019, a number of on-site inspections into more than 30 data and computing companies had found 21 mining operations.
A large number of Chinese miners operate within Inner Mongolia’s borders including a very large bitcoin mine located in the city of Ordos, which is maintained by Bitmain. Officials from China’s Inner Mongolia autonomous region ostensibly enforced action in September 2019 in order to clean up “illegal” bitcoin mining facilities capitalizing on subsidized electricity.
Weixin’s recent findings also said the firms did not qualify or match Inner Mongolia’s Electric Power Multilateral Trading Market criteria. On Twitter, Wu told his followers that officials “will increase the overall electricity price by about 1/3.”
“Miners are worried [that] Xinjiang will follow,” the reporter added.
Responding to Wu’s tweet a few people were pleased and hoped bitcoin miners decide to migrate elsewhere. “Very good,…