The co-founder of Bitmain, Jihan Wu told Chinese miners that there are “environmental protection issues”. Therefore, institutions currently buying or holding BTC could be more concerned about the origins of their coins and which is a cause of worry for the future of Bitcoin. As reported by Colin Wu.
Also, Kevin O’Leary, who recently shifted 3% of his portfolio into BTC, has claimed in various mainstream media news channels that his coins must be “produced with clean energy” and not “mined in China” and of which the aforementioned affirms the fears of Jihan Wu.
O’Leary said in an interview for CNBC:
Institutions will not buy [BTC] mined in China, coins that have been mined using coal to burn for electricity, or coins mined in countries with sanctions on them.
Also, Wu added that China has environmental protection priorities. As the reporter highlighted, there is a precedent of crackdowns in the Chinese-based Bitcoin mining activities. In Inner Mongolia, China, the local authorities suspended crypto mining due to the country’s environmental commitments.
Many government officials in this country have raised questions on the cryptocurrency’s “use for the real economy”. However, in a previous report, Colin said the current deputy governor of the People’s Bank of China, Li Bo, could be warming up to Bitcoin and crypto-assets. Bo said BTC “should be used as an investment tool”.