IBC Group announced that it will cease its crypto mining operations and facilities across China in response to recent crackdowns by Chinese authorities.
The company has conducted massive Ethereum and Bitcoin mining operations across China and employed over 1,500 people in over 40 cities across the country.
Meanwhile, the group has responded to the recent ongoing crackdown on crypto mining by investing in more than 4,000 different blockchain projects in China.
However, the company has decided to shut down all of its Bitcoin and Ethereum mining facilities. The company now plans to relocate its operations and employees to several new locations around the world, including Iceland, Kazakhstan, the United States, the United Arab Emirates, Canada and various South American countries.
In an interview with Yahoo Finance, Khurram Shroff, the prominent Arab Whale and chairman of the IBC Group, said, “We believe that while the Chinese raid is a temporary inconvenience, the diversified location of the mining facilities is great news for the rest of the world World.”
Khurram stated that the IBC Group is perfectly positioned to benefit from such changes. He further revealed that the Toronto-based company is the fastest growing technology center in North America.
He stated that relocating crypto operations out of China would represent a significant opportunity for Canada. He also announced that the Toronto Stock Exchange’s move to recently list the world’s first Bitcoin ETF is proof that the country is already ahead of the curve when it comes to mainstreaming crypto tokens.
Meanwhile, Peter Smith, the co-founder and CEO of Blockchain.com, and Michaël Saylor, the CEO of software company MicroStrategy, also spoke to Yahoo Finance.
Smith said he believed that China’s crackdown on crypto mining was a good thing, as the action would help diversify mining operations around the world and build huge mines in Europe, the US, and others Locations to accelerate.
On the flip side, Saylor said he believed that China was making a huge mistake as it was expected to lose $ 1 trillion in revenue. It is said to benefit from hosting various cryptocurrency mining operations in the country.
China is wiping out a billion-dollar market
On May 19, China announced institutional crackdown on crypto mining as the Central bank (the People’s Bank of China – PBOC) informed all local banks that they could not engage in crypto-related activities. China’s authorities have clarified their decisions to end crypto mining and trading, citing the need to control financial risk.
Recently, the central bank has also spoken out against speculative trading in cryptocurrencies, thereby further tightening the crackdown. Data shows that more than 90% of bitcoin mining in the country has been shut down. The impact is so great that the country that once contributed much of the computing power used by Bitcoin mining will lose a billion dollar market.
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