Miners may no longer laugh as hard as they used to because their electricity will no longer be subsidized.
Government representatives from Inner Mongolia are bringing up a rule that will prevent crypto miners from using the electricity that has been partly paid for by the government.
The reason for the change is for the government to save money and see other sources of revenue. If crypto miners pay more for the electricity they use and also pay taxes, the government will see up to 6.732 billion yuan ($977 million). The crypto mining they do should also generate an additional 4.836 billion yuan ($702 million).
No one is sure yet if this change is temporal or permanent.
Bitmain has one of its biggest branches in Ordos, which is close to the place where these changes are being implemented.
Not long ago, some authorities in the crypto space namely, Fidelity and BitOoda, came up with their findings that half of Bitcoins mined in the world is from China. At first, it was believed that China contributed 65% of the world’s supply. Notwithstanding, it is still obvious that China’s input in global BTC supply is really significant.