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Chinese Crypto Mining Firm Shuts Down Due To Coronavirus Outbreak

Due to the Coronavirus outbreak in China, the government has taken a series of measurements to keep the situation under control. Businesses are being affected across the nation. With the existing quarantine control, people are staying right at where they are and not be able to return to their work. 


Due to the #Coronavirus outbreak in China, the government has taken a series of measurements to keep the situation under control.https://t.co/BX93F4Jxag — lyle carl michaels (@iamlylemichaels) February 7, 2020

In particular, a mining farm is being forced to shut down during the epidemic.

On February 4, it has been reported that Jiang Zhuoer, the CEO of Weibo, said in a post that all the mining machines have been forced to shut down in one of the mining farms he owns in a remote region in China.     

As per Zhuoer’s post, the firm has been told that it’s not allowed to return to work at the moment. He claims that personnel at the mining farm have never stopped working and none of the maintenance staff has ever left this area before the quarantine control period.

However, affordable electricity and resources in provincial areas such as Xinjiang, Inner Mongolia, Yunnan, and Sichuan have contributed to China’s status as a major market for Bitcoin miners. 

Bitmain and Canaan Creative are the main mining chip manufacturers in China, with Bitmain producing 66% of the world’s cryptocurrency mining hardware. 

<img width="1280" height="1280" src="https://i0.wp.com/www.cryptonewspoint.com/wp-content/uploads/2020/02/im-151273.jpg?fit=1024%2C1024&amp;ssl=1" alt="" class="wp-image-10476 lazyload" />

Yet due to the outbreak of the virus, companies such as Bitmain, Canaan, and MicroBT have published notices on their websites of delays in their after-sale services until Feb 10.

As Bitcoin’s halving is less than 100 days away, some crypto commentators believe that this could trigger some serious price action. The coronavirus outbreak timespan overlaps with Bitcoin’s halving event.

Thus, mining companies are worrying that these two factors are going to have a stronger impact on the maintenance of mining equipment and the delivery of new mining machines. 

Source: weibo.com | cointelegraph.com

 
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