IBC Group Decides to Close Bitcoin and Ethereum Mining Operations in China

IBC Group announced today that it has decided to shut down its Bitcoin and Ethereum mining operations in China amid the country’s recent crackdown on crypto mining companies in the region.

According to an official announcement, IBC Group has decided to move its staff to new locations including Iceland, Kazakhstan, UAE, Canada, the US and different South American countries. Earlier this year, China’s central bank warned commercial banks against cryptocurrency Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term.

Commenting on the latest announcement, Khurram Shroff, the Chairman of the IBC Group, said: “We believe that while the Chinese crackdown is a temporary inconvenience, the diversified location of mining facilities is great news for the rest of the world. As a company headquartered in Toronto, the fastest growing tech hub in North America, we feel perfectly positioned to take advantage of these changes.”

“As far as our own crypto mining operations, within the IBC Group, are concerned; we are closing down all our Bitcoin and Ethereum mining facilities across China, and moving our staff to multiple new locations globally, including UAE, Canada, USA, Kazakhstan, Iceland and various South American countries,” Shroff added.

Bitcoin Mining

Across the crypto market, Bitcoin mining remained the hottest topic for discussions in the last few weeks. China’s recent crackdown and crypto restrictions sparked uncertainty among Bitcoin and Ethereum miners in the country. According to the latest estimates, nearly 90% of crypto miners in China have closed their operations. China accounted for nearly 50% of the global Hash Rate Hash Rate A hash rate is the measure of a cryptocurrency miner’s performance and a key security metric. In the context of mining, the more hashing or computing power in a given network, the greater its security and its overall resistance to attackMining hashrate is a key security metric. The more hashing (computing) power in the network, the greater its security and its overall resistance to attack. Hash rate is also a measurement of the output of a device that is used to add transactions to a blockchain A hash rate is the measure of a cryptocurrency miner’s performance and a key security metric. In the context of mining, the more hashing or computing power in a given network, the greater its security and its overall resistance to attackMining hashrate is a key security metric. The more hashing (computing) power in the network, the greater its security and its overall resistance to attack. Hash rate is also a measurement of the output of a device that is used to add transactions to a blockchain Read this Term in 2020. However, the latest regulations by the Chinese government have forced regional miners to shift their operations to crypto-friendly countries.

In May 2021, Michael Saylor, CEO of the US-based business intelligence firm, MicroStrategy, hosted a meeting between Tesla CEO Elon Musk and a group of leading Bitcoin miners in North America. Musk termed the meeting as a ‘promising’ development and expressed his optimism regarding the use of renewable energy sources in Bitcoin mining.