
China Has More Plans to Stamp Out Bitcoin - rbanffy
https://www.technologyreview.com/the-download/609913/china-has-more-plans-to-stamp-out-bitcoin/?utm_source=twitter.com&utm_medium=social&utm_content=2018-01-08&utm_campaign=Technology+Review
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bob_theslob646
Since the MIT Tech-Re article is super brief, I have got some information from
quartz that goes a little more in depth.([https://qz.com/1174091/china-wants-
an-orderly-exit-from-bitc...](https://qz.com/1174091/china-wants-an-orderly-
exit-from-bitcoin-mining/))

>Citing government sources, Bloomberg and Reuters earlier reported that China
is planning to limit electricity supply to bitcoin miners.

>“Currently, there are some so-called ‘mining’ enterprises that produce
‘virtual currencies.’ They have consumed huge amounts of resources and stoked
speculation of ‘virtual currencies,’” according to the document dated Jan. 2.

>The document, issued to local offices of the internet-finance regulator, asks
local authorities to use measures linked to electricity price, land use, tax,
and environmental protection, among other things, to guide bitcoin miners to
quit the business.

>It also asks the local offices to report information about mining facilities
in their regions, as well as the progress of the exits from mining by Jan. 10,
and then on the tenth day of every month.

If that last statement is true, I wonder what the consequences of such would
be on the price of bitcoin. Would that artificially drive the price up because
the btc is being mined less?

~~~
tromp
> Would that artificially drive the price up because the btc is being mined
> less?

No, demand causes price, mining follows price. It just makes the remaining
miners more profitable, so they are incentivized to expand. In the end,
China's hashpower will just appear to have migrated abroad.

------
yasp
In defense of PoW:

[http://truthcoin.info/blog/pow-and-mining/](http://truthcoin.info/blog/pow-
and-mining/)

[http://truthcoin.info/blog/pow-cheapest/](http://truthcoin.info/blog/pow-
cheapest/)

