China to Add Crypto Mining to Negative List of Investment

It seems that there is no way to get China on board with the idea of decentralization and accepting cryptocurrencies for what they are. Once again, the country is hell-bent on eradicating every trace or speck of decentralization from its borders. Recently China has announced to add crypto mining and other activities into the negative list of businesses to invest in. The very feud that China has with cryptocurrencies dates back to the mid-May crash when a severe crackdown was initiated by the government against crypto miners, and as a result, the hash rate of Bitcoin declined so rapidly that it was next to nothing.

Not only this, but China has made international crypto exchanges limit their services to the international crowd only as they are not permitted to serve the local customers in any shape or form. As of the moment, it is not legal to engage with crypto mining activities, and despite the illegality of it some people have chosen to operate nonetheless. To be clear with their motive Chinese government has added crypto mining among the negative list of industries that are not sanctioned by the government in any shape or form. This means that anyone engaging with these specific sections of investment will be taking heavy penalties of the law within the Chinese state.

China to Cut Ties with Crypto Market

This is also a scheme of China to cut the ties of the crypto market with investors so that somehow it might lose traction and be done on a global scale. The national development and reform commission, along with the Ministry of Commerce, released this document on Friday, which included the very draft for the negative list of companies for investing in 2021. This is not subjected to the local investors, but the international crowd is also not allowed to make an investment among the restricted companies.

Any other field or company that is not included within the list is open for any kind of investment. No one knows if China will be bringing forward its own digital asset in the upcoming months or years, but one thing is for sure that it is not going to take present cryptocurrencies any kindly than it is doing right now.

By Howard Ford
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