On the evening of May 25, Inner Mongolia fired its first shot:
According to the official account of the Inner Mongolia Development and Reform Commission,In accordance with the deployment requirements of the 51st meeting of the Financial Stability and Development Committee of the State Council on cracking down on Bitcoin mining and trading, strictly implement the "Inner Mongolia Autonomous Region's Several Guarantee Measures for Ensuring the Completion of Energy Consumption Dual Control Targets in the 14th Five-Year Plan", further clean up virtual currency "mining" behavior, strengthen crackdowns and punishments, build a long-term supervision mechanism, maintain market order, Regarding the environment of the big data industry and the prevention of financial risks, we organized the drafting of the "Eight Measures of the Inner Mongolia Autonomous Region Development and Reform Commission on Resolutely Combating and Punishment of Virtual Currency "Mining" Behaviors (Draft for Comment)", which is now open to the public for comments.
1. For industrial parks, data centers, self-provided power plants and other entities that provide venues and power support for virtual currency "mining" enterprises, in accordance with relevant regulations such as the "Energy Conservation Law of the People's Republic of China" and "Electricity Law of the People's Republic of China", add Strengthen energy-saving supervision, check and reduce energy consumption budget indicators; for those who deliberately conceal and fail to report, do not clear and shut down in a timely manner, and do not perform well in approval and supervision, they will be strictly held accountable in accordance with relevant laws and regulations and party regulations.
2. For big data centers, cloud computing companies and other entities that have virtual currency "mining" behaviors, the competent department will cancel various preferential policies, withdraw from the multilateral electricity trading market in Inner Mongolia, and strictly deal with it in accordance with the "Energy Conservation Law of the People's Republic of China" , Strictly pursue responsibility.
3. For telecommunications companies, Internet companies and other entities that engage in virtual currency "mining", according to the relevant provisions of the "Regulations on Telecommunications of the People's Republic of China", the competent department shall revoke the value-added telecommunications business license in accordance with the law, and seriously investigate the responsibility.
4. Where Internet cafes and other subjects have virtual currency "mining" activities, the competent department shall suspend business operations and rectify them in accordance with laws and regulations.
5. For entities such as virtual currency "mining" projects that access power sources privately without approval, transfer their illegal electricity theft to the judiciary for handling in accordance with the "Criminal Law of the People's Republic of China" and other relevant regulations.
6. If there are illegal activities such as money laundering in the form of virtual currency for enterprises, individuals and other entities, they shall be transferred to judicial organs for handling in accordance with the "Criminal Law of the People's Republic of China" and other relevant regulations.
7. For enterprises, individuals and other subjects who use virtual currency to conduct illegal fund-raising, etc., the competent department will strictly deal with it in accordance with the "Regulations on Prevention and Handling of Illegal Fund-raising" and other relevant regulations.
8. For relevant companies and relevant personnel that have virtual currency "mining" behaviors, be included in the blacklist of dishonesty in accordance with relevant regulations; for public officials who take advantage of their positions to participate in virtual currency "mining" or provide them with convenience and protection, They shall be transferred to the discipline inspection and supervision organs for handling.
How to read:
First:Inner Mongolia was the first to issue an article, which is related to its previous attitude of cracking down on mining. Compared with the content issued by the Inner Mongolia Development and Reform Commission in February, it is obviously more detailed. Due to the high pressure of carbon neutrality and energy anti-corruption, Inner Mongolia is the most aggressive in cracking down on mining.
At that time, the content was only: "Virtual currency mining: comprehensively clean up and shut down virtual currency mining projects, and all exit before the end of April 2021. Reasonably and orderly control the scale of data center construction, and strictly prohibit new virtual currency mining projects."
The requirements this time are basically in the existing legal and regulatory system, and the restrictions on mining have reached the extreme. It even involves Internet cafe mining, inclusion in the blacklist of untrustworthy and other content that has never appeared before. However, there is really no basis for personal mining, so it is not involved.
refer to:"second》
second：The introduction of policies in Inner Mongolia may mean that Beijing allows various localities and ministries to issue their own policies and implement them according to the situation, instead of being ordered by the National Development and Reform Commission/Energy Bureau. This may not be a bad thing. However, the follow-up policies of the central bank, the Ministry of Public Security, Sichuan, and Xinjiang have attracted more attention.
At the central bank level, it is not expected to deviate from the content of the previous three associations: China Internet Finance Association, China Banking Association, China Payment and Clearing Association Announcement on Preventing the Risk of Virtual Currency Transaction Hype. However, the flood season in Sichuan is approaching, and the waste of water and electricity is serious. From the perspective of solving financial difficulties, consuming abandoned electricity and promoting employment, local governments should not be willing to immediately clear them.
The other two have larger uncertainties. In particular, it is not known whether there will be a severe crackdown on OTC. However, if there are new policies to increase the weight, the first thing to bear the brunt may be to remove the OTC business of major exchanges. But from another perspective, if it is to combat currency-related fraud and gambling business, it may be more beneficial for the police to have the assistance of the exchange. After the cancellation of OTC, it will go underground in an all-round way, making it more difficult for the police to arrest.
After the introduction of the Inner Mongolia policy, the price of Bitcoin has not fluctuated, but this does not mean the end. On the one hand, it is because of the shouting effect brought by Dalio, and on the other hand, the market has digested the 521 panic last weekend. But as mentioned earlier, the policies of the above four ministries and provinces will have greater influence.
third:What is certain is that 521 has had a profound impact on China's mining industry. At least this year, China's entire cryptocurrency industry will go overseas or go underground, which should be a high probability event. It is reported that the supply of overseas mines has been seriously short of demand recently, all mines in Russia are full, and electricity prices in Kazakhstan have risen by 40%. An operator of an overseas mining farm said that no one cared about it before, but the phone calls were almost ringing in the past week.
