China may curtail crypto mining market

On May 23, the exchange rate of the main cryptocurrency - bitcoin - broke another ‘anti-record,’ Report informs referring to 3dnews.ru.

At 18:00 GMT on May 23, bitcoin fell to values that are almost 50 percent less than the April high.

The rate of the bitcoin fell by 13 percent and amounted to $32,601.

For comparison, on April 14 this year, bitcoin reached $64,895.

The fall affected not only Bitcoin, but other coins as well: Ethereum lost 17 percent and is worth $1,905.

Since the cryptocurrency markets are trading around the clock, further changes are to be expected.

At the same time, China on May 21 announced the tightening of control over the circulation of cryptocurrencies and crypto mining in the country in order to prevent financial risks.

According to Vice Premier of China Liu He, this measure should put an end to the mining and trading of cryptocurrencies.

Because of this, Chinese crypto mining operators announced halt of their operation in the country. Among them are such major players as Huobi Mall and BTC.TOP. Crypto exchange Huobi announced the suspension of servicing customers from mainland China.

"Crypto mining consumes a lot of energy, which runs counter to China's carbon neutrality goals," said Chen Jiahe, chief investment officer of Beijing-based family office Novem Arcae Technologies. The crackdown is also part of China's stepped-up drive to curb speculative crypto trading, he added.