A Chinese municipality firm has reportedly submitted an offer to Beijing’s authority to allow it provide maximum electricity to blockchain firms in the region who generally are miners of leading cryptocurrency Bitcoin. This move will allow other digital assets in the crypto market to enjoy so many benefits and will see a reduction in the costs of mining Bitcoin in the weeks, leading to its much-anticipated halving.
An official statement released by the Ya’an local government; a perfected part located in the western part of China’s Sichuan province asked the government to look into hydropower to help achieve this dream. The spokesperson was quoted as saying “The central government should look for strategic opportunities with the blockchain industry to make use of excess hydropower.”
Although the released statement didn’t say specifically if it was bitcoin or other cryptocurrency mining, Beijing has relaxed its rules on crypto mining since the 2017 clampdown in the country. Beijing released a list that highlighted lists of industries that would be eliminated in November last year with cryptocurrency mining one of the industries that they tried to show the door. The Japanese media outlet, Coin Post reported that a massive chunk of Bitcoin miners are now moving to Ya’an where they are planning on building the next blockchain mega-hub. Reportedly, the previous mining data facility in the region which is known as “blockchain data “centre is also a big Bitcoin mining outfit.
This new development has been backed to fall in line with the latest Bitcoin mining reward halving that is set to happen in the coming weeks where the rewards for mining would be reduced from 12.5 to 6.25 per block. Chinese miners are said to be the biggest gainers in the Bitcoin hashrate or the computing power of the blockchain technology. They will further enjoy more gains regarding this new development while working with cheap and efficient electricity which will also help reduce the costs of mining Bitcoin. Chinese companies are looking to get more out of the halving when it happens with the new development slowing down a drop in the leading digital assets hashrate when the halving eventually happens.
China-based Bitcoin mining pool is said to be the highest donors in more than half of the networks computing firepower with Poolin, the most significant donor while F2pool comes in 2nd place. Antpool, Btc.com and Viabtc occupy the 3rd, 4th and 5th spot respectively with a list of unknown companies making the 6th place. 1THash and 58Coin combine to make up the 7th place while Okexpool, Huobi and Slushpool make up the 8th,9th and 10th place. Other unnamed firms make up the smaller parts of the list.