Bitmain’s alleged decision would also receive support from recent announcements made by the Chinese government, which reiterated the ban on commercial activities with cryptocurrencies and added that there would be legal charges for the offending individuals and companies.
The reputed Chinese mining device manufacturer Bitmain appears to be joining the growing group of companies that will no longer market their products to customers living in China.
Several news portals with knowledge of the case reflected on the situation saying that, like many other companies within the digital currency sector, the measure adopted by Bitmain happened due to the recent announcements made by the government of the Asian country.
These activities will be subject to criminal charges for the citizens and entities that engage in these practices. According to sources familiar with the current situation, Bitmain’s measures appear to go beyond just suspending the marketing of mining devices among residents of the country.
Bitmain even contemplates moving a significant part of its production line to new regions, although there is still no information on the countries where they will install their new headquarters.
According to several analysts, the announcement by Bitmain could be a severe blow to the cryptocurrency industry, especially since the Chinese market was a point of commercialization for many of the products that come from the company.
However, it is worth noting that the company has been promoting its expansion plans and taking its operations to other latitudes, precisely intending to open up space in other international markets.
Market Reacts to the Chinese Government’s Stance
Although Bitmain has not yet released an official statement concerning its intentions, the measure does not take people with more experience within the crypto ecosystem by surprise, precisely because of the events that took effect in recent days. To the announcement of the Chinese government.
Previously, the Chinese company that operates one of the best-known platforms for trading products on the Internet, Alibaba, announced that as of October 8, it would stop the sale of mining devices through its interface.
The platform also highlighted that it would close two categories related to this type of article. The measure took effect due to the legal inconveniences that the commercialization of this type of equipment would face during these times.
Although it is not the first time this year that the Chinese government has announced this type, these measures led again to the fall in the price of Bitcoin and the first cryptocurrencies.
After the first announcement made in May this year by the Chinese authorities, some farm operating companies and mining groups based in China have been migrating their operations to other latitudes with a friendly regulatory environment.
In this regard, the mayor of Miami, Francis Suárez, stated that his country is taking advantage of the situation in China and is assuming several companies to operate in the North American nation.
By: Jenson Nuñez
