Why Does the Country Ban Mining (Why Does the Country Not Support Mining)?

Why does the country ban mining? Editor’s note: This article is from Carbon Chain Value (ID: cc-value), author: Masha Ka, authorized to be reproduced by Odaily Star Daily.

Why does the country ban mining?

On October 15, 2021, after the State Council issued the “Guiding Opinions of the Central Committee of the Communist Party of China on Deepening Reform, Accelerating the Promotion of High-Quality Economic Development,” the “Notice on Cracking Down on Bitcoin and Virtual Currency Trading Speculation Risks” (hereinafter referred to as the “Notice”) was officially released. The “Decision” pointed out that “the formulation of this measure is to implement the important spirit of General Secretary Xi Jinping’s speech on blockchain technology and the important instructions of the Party Central Committee on network space security, and actively cooperate with relevant departments to do related work.” The document stated that the “Regulations” require the conduct of various publicity and education activities as well as training and learning activities to improve the public’s understanding of the Internet and related fields. The “Notice” clearly puts forward the requirement to resolutely resist illegal fund-raising activities using digital technology. In order to promote the sustained and healthy development of China’s economy, maintain national security and social stability, create a good business environment, guide the rational use of funds, strengthen the application of financial regulatory technology, implement various measures to prevent and resolve major risks, and effectively solve the problems strongly reflected by the people.”

In the “Announcement”. The document mentions, “Organize and lead key special inspections in relevant fields in accordance with laws and regulations, increase efforts to clean up and shut down the list of illegal and illegal enterprises, and severely investigate behaviors that disrupt fair competition order; jointly launch the masses to report clues to participate in malicious attacks or use the name of new business forms to engage in pyramid selling crimes.” This is of great significance to further standardize market subject information and business processes, and improve industry competitiveness. Since September 2020, more than ten laws and regulations such as the “Electric Power Law of the People’s Republic of China,” “Personal Income Tax Law of the People’s Republic of China,” and “Measures for the Appointment and Removal of the Director of the Beijing Local Finance Supervision and Administration Bureau” have been successively promulgated and implemented, and new regulations have begun to be implemented The “Electronic Signature Law of the People’s Republic of China,” the “Regulations on the Protection of Computer System Data,” and the “Telecommunications Regulations of the People’s Republic of China”. The purpose of these “Regulations” is to effectively control the rise of virtual currency issuance and intensify the frenzy of virtual currency speculation.

Why Does the Country Not Support Mining

Text|Master Tai

Produced by|Odaily Star Daily (ID:o-daily)

Why does the country not support mining?

1. With the introduction of regulatory measures on Bitcoin, some people believe that this is a contribution to addressing the risks of virtual currency speculation in our country and preventing and resolving financial risks. But this is just the beginning. 2. While banning encrypted digital currency and blockchain-related businesses domestically, it also affects China’s economy. On January 7, the State Council issued the “Opinions on Further Deepening the Pilot of Innovative Development of Service Trade,” clearly encouraging companies to carry out “green and low-carbon” technology research and application. 3. For companies that profit through buying and selling data information through the Internet, the “Opinions” also mentioned the need to guide the public to rationally view the relationship between the blockchain industry and traditional industries. The “Opinions” require strengthening market access, establishing and improving trading venue rules; severely cracking down on illegal means of obtaining funds, and resolutely disrupting the review system of antitrust activities of financial institutions. 4. Why does the country not allow mining? 1. According to the provisions of relevant laws and regulations, “those who engage in online gaming activities or engage in other productive work shall not directly or indirectly sell tokens, tickets, and other forms of securities to organizations or individuals.” 5. Currently, there is no place to issue ICO. 6. “Mining” is defined as unauthorized illegal public financing; when illegal and irregular activities occur, relevant departments should immediately stop providing consulting advice and publicity and education services. 7. Will the country restrict the use of renewable energy to promote energy conservation and emission reduction? “Mining” refers to the process of mining new technology software products and services that participate in through specific equipment in a computer system. 8. “Mining” (buying mining machines and obtaining electricity) refers to the process in which a company’s self-developed new machine serves as its operating purpose, and this process relies on the energy consumption generated by existing electronic devices. 9. “Mining” (i.e., mining). That is to say, when a certain resource produced by one unit can be transformed into the value provided by another party, this unit cannot reuse these resources to create new profit models and can only rely on this ability rather than earn money from it. 10. China has not completely withdrawn from the field of encrypted digital currency? 2. From the perspective of policy environment, “Due to the large price fluctuations of Bitcoin, in order to avoid possible environmental pollution, the government has taken many measures to control the scale of the economy.” 11. If the future trend of economic development continues to slow down, it is possible to consider gradually closing some virtual currency exchanges, but do not easily remove certain currencies. “Mining” is not a real legal contract, but it must comply with national laws and regulations to truly become a new form of property. “Bitcoin” is actually a very ordinary investment product and does not meet the basic meaning in our daily lives. Therefore,