Greetings crypto lovers, I have seen a good number of articles that explain the consequences of this closure and I want to contribute in my case a grain of sand for the cause about this event, mainly from the political sphere and at the end of this publication the positive consequences of this event. Without further ado let's get started.
Closure of mines due to "polluting" bitcoin mining?
Among the news that talk about this issue, they talk about cryptos are a serious problem for the environment and that China has closed them to combat this environmental pollution, even if it is the main objective that would not explain the case of the closure of mines in places like Sichuan that use mainly hydroelectric power, this implies that the reasons for their closure go beyond pollution.
Will the contracts of the mining centers have anything to do with it?
This reason in my opinion carries more weight. Most of the companies in the sector in China use the model of contracting mining farms directly from energy suppliers.
The state power grid does not benefit from these local contracts and the Chinese authorities do not get any money from these mining practices, in other words a desire of the Chinese authorities to profit more from the supply of energy.
The digital Yuan the beginning of the positions?
In my opinion this is the main reason along with energy contracts, the development and future arrival of the digital Yuan as the official currency of the country will change the way the economy develops and due to the characteristics of this fiat 2.0 currency it will also change the way the economy develops. it will give more control to the banks and authorities of the country of its users.
Central bank-backed digital currencies see cryptocurrencies as a mortal enemy and this practice will probably not stop with only China, since the moment the digital Yuan began to launch the stances against cryptos have hardened and the authorities aim to ensure that the official currency is used in your country.
Reflections
There are reasons on the part of the state to close the mines, they are not a source of income for the Chinese authorities and they are the future enemy of the digital Yuan, these positions will probably be repeated in other countries that develop their digital currencies and it is not unreasonable that it happens now that history has proven with the birth of central banks.
Without further ado, this would be the end, I hope you liked it.
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