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China Wants To Ban Bitcoin Mining
China's state planner wants to eliminate bitcoin mining in the country, according to a draft list of industrial activities the agency is seeking to stop in a sign of growing government pressure on the cryptocurrency sector. From a report: China is the world's largest market for computer hardware designed to mine bitcoin and other cryptocurrencies, even though such activities previously fell under a regulatory grey area. The National Development and Reform Commission (NDRC) said on Monday it was seeking public opinions on a revised list of industries it wants to encourage, restrict or eliminate. The list was first published in 2011. The draft for a revised list added cryptocurrency mining, including that of bitcoin, to more than 450 activities the NDRC said should be phased out as they did not adhere to relevant laws and regulations, were unsafe, wasted resources or polluted the environment. It did not stipulate a target date or plan for how to eliminate bitcoin mining, meaning that such activities should be phased out immediately, the document said. The public has until May 7 to comment on the draft.
The Chinese government recognized that the bitcoin fad is over. Time to move on.
This might actually be good for crypto in general, since it will finally convince developers that they need to move away from "Proof Of Work" verification algorithms and less processor intensive verification methods like "Proof Of Stake". It's been on their "To Do" lists for awhile, since environmentalists have been hounding them about how much electricity crypto mining wastes for years now. Like many things in IT, being forced to do something because of government regulation can force change here.
The entire purpose of cryptocurrency is to undermine the state. There is literally no other value add to the blockchainist (pseudo) decentralization model of electronic currency.
Actually, bitcoin has undermine itself.
Bitcoin is not decentralized and has not been for years. The underlying theory of bitcoin is that a diverse and decentralized population of users maintain the blockchain. Bitcoin has neither diversity nor decentralization. Bitcoin is not diverse as it is dominated by the manufacturers and owners of expensive and specialized mining hardware, ASICs. Bitcoin is not decentralized as 70%+ of the ASIC miners are in a single country, China, dependent upon inexpensive government control power. Bitcoin has deviated from its core design that was supposed to ensure security.