China deepens search for undercover crypto miners
The Chinese government has added a new dimension to its campaign against cryptocurrencies. Officials are now inspecting laboratories and educational facilities to uncover disguised miners.
The new surveillance sweep targets crypto miners who in light of the intense crackdowns on mining operations went undercover as data researchers and educational or storage facilities.
An anonymous Chinese miner said he maintains his operations through strategic movements. According to a Bloomberg report, the said miner changes the facilities in which he operates to make it harder to detect irregular power usage.
Another individual, this time a local internet provider, opined that the crypto industry would “seriously affect economic and social development and directly threaten national security”if it is given room to expand.
In October, the Chinese government threatened to begin regular monitoring of computing activities. Defaulters are liable to face consequences related to internet connectivity if the system detects irregular mining.
Last week, BTC PEERS reported that China’s Hebei province became the latest region to clamp down on Bitcoin mining operations. The Chinese government has partnered with whistleblowers and citizens to gather information on suspicious mining activities.
Noteworthily, the Chinese branches of large-scale crypto businesses are also affected by the strict regulations as businesses linked to cryptos face discrimination from the local branch of the central bank in the province of Shenzhen.
Renowned Chinese exchange Huobi closed down its Beijing operations this summer in light of the crackdowns.