The economic planning agency has made available telephone numbers and e-mail addresses to receive complaints about possible illegal mining sites. The local government says that the work is based on “public supervision” to find the mining equipment.
The authorities of the Chinese region of Inner Mongolia called on its inhabitants to denounce the illegal mining of Bitcoin and other cryptocurrencies. They want to reduce the consumption of energy by 3% this year, so they need to locate those who operate cryptocurrency mining equipment.
Neighbors can report possible illegal mining sites to the telephone numbers and e-mail addresses that the economic planning agency has made available. In recent days, local media reported that the work is based on “public supervision”, that is, social control to minimize the activity.
The agency said that it seeks to detect four potential targets: mining companies, miners who hide as companies pretending to be data centers, premise owners who keep mining equipment activated, and those who use electricity supply fraudulently.
China is interested in neutralizing the polluting emissions of Bitcoin miners, so the decision of the local authorities is very pertinent. “The goal is to maximize the role of public supervision,” according to a notice recently released in the region.
The residents received the notification two days after China banned the country’s institutions and means of payments from operating with cryptocurrencies. The government argues that this type of asset is speculative due to its anonymity, which would threaten “people’s property and the economic order.”
Bitcoin Mining Primarily Uses Renewable Energy Sources
According to a newly formed body of opinion, the Bitcoin network consumes large amounts of energy. However, scientific studies indicate that miners primarily use renewable energy sources. Almost 80% of the equipment uses hydroelectric energy instead of other methods such as coal combustion.
In February 2021, ARK Investment Management LLC (ARK) analyst Yassine Elmandjra issued statements on Bitcoin mining. She explained that the “impact of this activity is clearly positive for the environment”, in contrast to what most people think.
China currently accounts for most of the pioneering cryptocurrency’s processing power with 65% of the total hash rate. The Asian country has held a negative position on Bitcoin and other cryptocurrencies and has vetoed them as a means of payment. However, it has allowed the development of the cryptocurrency mining industry, which it now aims to restrict.
Elon Musk’s Alleged Reasons for Criticizing Bitcoin
In recent weeks, the CEO of Tesla, Elon Musk, negatively criticized Bitcoin, claiming that its mining harms the environment. The community expressed its anger over the effects of his comments on the cryptocurrency market. They even recommended that he do more research on the power sources that most Bitcoin miners use.
The Bitcoin Treasuries list currently includes MicroStrategy, Tesla, and Grayscale Bitcoin Trust as the main institutional investors betting on Bitcoin. Ironically, the electric car company owns a total of 43,200 BTC, equivalent to about USD 1,600 thousand, especially after Musk’s comments.
By Alexander Salazar
