When I heard that China was planning on shutting down miners for mining Bitcoin, first response I had was, WHY?
To me, this is how a lot of money is in-flowing into China.
When you talk about all the Bitcoin Millionaires here in the USA, can you imagine how many Bitcoin Millionaires are in China. The stat is that over 60-70% of bitcoin transactions are mined in China.
If you take it a step further, the value of a Bitcoin is the about the same no matter what country you are in (granted there are +/- 3% because of exchange premiums). Additionally, the dollar/Yuan goes a lot further in China.
Another consideration, if Chinese miners reduce their output, wouldn't that make the value of the Bitcoin higher?
It's all about supply and demand. More demand equals higher Bitcoin price.
Now, if you are a miner in China, what would you do?
Probably move your operations somewhere else.
According to the article below, Russia might be the country they move too.
One drawback for Bitcoin users, it will take longer for transactions to get processed because there are less miners.
On the flip side, this could potentially be an opportunity for miners outside of China to mine more and earn more.
What are your thoughts about China's government proposed ban on Bitcoin mining?
