Decision From China That Could Turn Cryptocurrency Markets Upside Down

China, which banned all crypto-related activities in September, has today officially added cryptocurrency mining to 'industries that need to be eradicated'. The announcement was made by the Chinese government agency's National Development and Reform Commission.

Last September, the crypto money market encountered a news that we have come across before. China, the largest source of cryptocurrency mining, has announced that it has banned all transactions related to cryptocurrencies and that those who violate the ban will be penalized . After this announcement, there was a sharp decline in the crypto money market.

While the Chinese government's view on cryptocurrencies is in the same direction, another important news came today. Chinese journalist Wu Blockchain , who conveyed the developments of the crypto money industry in China, announced that the Chinese government has officially included crypto currency mining among the " industries that need to be eliminated " today, that is, on January 10 .

hina adds cryptocurrency mining to industries that need to be eradicated

Wu Blockchain shared the source of its news directly as the announcement of the Chinese government agency National Development and Reform Commission . When we translate the related announcement directly into Turkish, there is information that "mining activity with virtual money" has been added to the "industries that need to be eliminated" category.

China was home to 80% of the global cryptocurrency trade, with low energy amounts. While the reason for China's measures against cryptocurrencies is thought to be environmental risks, it is also claimed that China is blocking cryptocurrencies to lead to digital yuan. In 2021 alone, China's 17 government departments announced about 180 blockchain projects . These projects took advantage of blockchain technology and did not include any activity related to cryptocurrencies.

On the other hand, many giant mining companies left China and migrated to different countries when China began to make statements pointing to this ban before it introduced its ban on cryptocurrencies .

Although it is seen that Bitcoin fell back to 40,800 after this news, it is not yet certain whether this decline is related to the news.