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China’s cryptocurrency crackdown intensifies as Sichuan province orders a stop to mining operations
- Southwestern Sichuan province reverses its previous lenient stance on cryptocurrency mining activities
- Authorities on Friday issued an order to ‘clean up and terminate’ cryptocurrency mining operations in the province
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The Sichuan government has ordered a halt to all cryptocurrency mining operations in the southwestern province, reversing its previous lenient stance on the sector amid a national crackdown against these large power-intensive activities.
The provincial branch of the National Development and Reform Commission (NDRC) and the Sichuan Energy Bureau jointly issued on Friday an order to “clean up and terminate” these mining operations, according to a notice obtained and verified by the South China Morning Post.
The notice said 26 companies that have been inspected and reported as potential cryptocurrency mining enterprises must be closed down this Sunday by the Sichuan branch of the State Grid Corp of China, the world’s largest electric utility. The Sichuan branch of NDRC, the macroeconomic management agency under the State Council, will supervise the shutdown, while tracking electricity usage and providing daily reports.
Electricity providers are required to investigate their clients and immediately cut off their power supply should they be found to be involved in cryptocurrency mining, according to the order. These providers must report the results of their inspection to the NDRC before June 25.
Sichuan’s initiative makes it the latest cryptocurrency mining hotspot in China to clamp down on the activity.
Josh joined the Post in 2016 to cover politics and business in mainland China and Hong Kong. Since 2018, he has covered China's emerging tech sector. Having graduated from the University of Pittsburgh with a degree in English and philosophy, he is now pursuing a master's degree in law at the University of Hong Kong.
Coco Feng joined the Post in 2019, covering the technology and internet sector from the Greater Bay Area. Previously, she worked at the Post's Beijing bureau.
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