Politics
China’s crypto posture “ should not change soon ”
Chinese government’s attitude to cryptography is not expected to change significantly in the short term, says Cointelegraph expert reported.
Ivan Plantonov, analyst at EqualOcean, an international provider of information and investment research services led by China, said: We do not think that China’s attitude towards cryptocurrencies can change significantly short term. At present, the country focuses mainly on [] industrial and commercial applications of[technologiedugrandlivredistributed[distributedledgertechnology[technologiedugrandlivredistribué[distributedledgertechnology]
However, Plantonov admitted that the recentmeasures taken by the Chinese authoritiesare probably the first time since 2018 [that] the local administration directly supports the operation of the blockchain during the seasons with high flow. He explained that the change was initiated by President Xi Jinpingscall on the country to accelerate the adoption of blockchainTechnology.
He said: After the October announcement, which presented the blockchain as a national center of innovation, the technology has penetrated different layers of the Chinese government.
Plantonov explained that Sichuan had been a mining plant for years. He said that the region is economically underdeveloped, but has a lot of natural resources. For this reason, he believes that the extraction of cryptocurrencies is an excellent opportunity for the province: mining is in a way a gold mine opportunity not to be missed. Now, in the favorable climate for blockchain provided by the central government, the weak points in the field should be resolved and the market should develop gradually.
Finally, while Plantonov has admitted that mining is clearly part of blockchain technology, he believes there will always be conflicts with local government over the next few years: like the two [blockchain technology and mining] always go hand in hand, the sphere should remain vulnerable in the coming years, with a number of conflicts around this issue.
China is a major player in the cryptocurrency mining industry. Areport end 2019 showed that Chinese bitcoin miners at the time were responsible for up to 66% of the global hash rate, 54% of which came from Sichuan alone.
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