Some bitcoin miners in Xinjiang ordered to shut down after China's crackdown note

Quick Take

  • The Changji prefecture government in Xinjiang has issued a notice to subordinate government officials in the Zhundong Economic Technological Development Park, a notable bitcoin mining hub in the region.
  • Officials in Zhundong have been instructed to shut down crypto mining activities under their administration by 2:00 pm China time on June 9.

UPDATE (15:20 UTC time June 9): The Chinese provincial government of Qinghai also issued a document to local officials for closing down crypto mining operations in the region on June 9, based on a government document seen by The Block.

According to data from the Cambridge Center for Alternative Finance, bitcoin’s hash rate in Qinghai only accounted for 0.26% of the network’s total as of April 2020 whereas the computing power located in Xinjiang was more than 40%.


Bitcoin miners in one of the major economic and technological development zones in China's Xinjiang province have been ordered to shut down their operations immediately.

The Reform and Development Commission in the Changji Hui Autonomous Prefecture in Xinjiang issued a notice on Wednesday to its subordinate government officials in the Zhundong Economic Technological Development Park. According to the notice seen and verified by The Block, officials in the development park have been instructed to shut down all crypto mining activities under their administration by 2:00 pm China time on Wednesday.

The park is a 15,500 square km area home to a variety of coal production industries including coal-based power plants and industrial factories. It also houses some of the largest bitcoin mining facilities in the country due to the high capacity of fossil fuel energy.

The instruction was based on the high-level bitcoin trading and mining crackdown comment brought up during the China State Council meeting last month, the notice said.

The notice cited the "Measures for the Energy Conservation Examination of Fixed-Asset Investment Projects" passed by China's National Reform and Development Commission as the relevant ordinance for government officials to carry out the order.

Though it is hard to pinpoint how much energy capacity exactly is powering