Authorities in China’s Inner Mongolia province seized 10,100 crypto mining rigs from a government-operated tech park, according to local media.
- A branch of the Development and Reform Commission in Bayannaoer city found an illicit mining operation at the park, local media reported, citing China’s official Xinhua News Agency.
- The action comes days after the country’s top government agencies announced a renewed crackdown on crypto trading and mining. China’s highest economic planning body, the National Development and Reform Commission, banned investment in new mining operations, and said all existing projects will be phased out.
- The closure brings Inner Mongolia’s total to 45 mining projects shut down, saving the province 6.58 billion kWh of electricity – or 2 million tons of coal – a year, the article said.
- Such zones and parks are areas where the government sets preferential policies such as reduced tax rates or cheap rent, usually for specific industries, hoping that hubs for innovation and development will flourish.
- In the policy circular distributed Friday, central authorities told provinces and cities to stop all support of crypto mining firms, which would include any preferential treatment afforded to companies working in a government tech park.
UPDATE (SEPT. 27, 9:19 UTC): Adds location of mine, energy consumption, history on China’s ban.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.