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In China close down a mining farm, and Venezuela will pay for gasoline with bitcoin

FXcoins - In China close down a mining farm, and Venezuela will pay for gasoline with bitcoin

Let's start with China. Beijing authorities strongly opposed to the cryptocurrency, which has led to increasing pressure on the mining farm. The first fell under the distribution of Yunnan and Sichuan, where the miners set the rates through hydroelectric power. Such a government policy of the party is not suitable, since the leak of personal funds.


In the Western part of Yunnan province, the administration of the Autonomous County Dehong Dai-Kaczynski held a meeting where the main issue was the closure of the mining farms in their territory. The scale is staggering, as in provisions on liquidation were issued addresses 57 major projects, mining bitcoin without a license from the authorities. In addition to this eliminate going 7 unfinished areas.


13 April 2020 State grid company from Yunnan made a statement to the local crypto community was presented with the requirement to stop illegal and unauthorised consumption in the territory of the province, as these actions lead to the sale of excess energy.


Due to the deterioration of production conditions, many miners decided to sell their farm. By the end of may, the government of Sichuan province demanded not to ban the mining of cryptocurrencies, otherwise the administration will investigate and will apply more radical measures than fines and bans, up to the demolition of buildings.


At the same time, Venezuelan President Nicolas Maduro issued a decree which stated that all petrol stations can now accept payment in local cryptocurrency Petro.


In June 2020, the Venezuelan government will raise the cost for gasoline, the price of which reaches 5000 bolívares, or 2.5 cents per liter. To the citizens and tourists had no problems with payment calculations and decided to use convertible currencies: Euro, dollar, Bolivar and national cryptocurrency Petro.


It is interesting that the Petro App - not working with the payment system Biopago (through this system is the implementation of fuel), and this is the only wallet support local cryptocurrency. There is therefore nothing surprising in the fact that retailers in Venezuela refuse to accept payment in the national currency. They argue that when converting cryptocurrencies in bolivars, the Central Bank issues bolívar repeatedly at a reduced rate. Earlier it became known that Venezuela will sell 4.5 million barrels of certified reserves for PDVSA Petro.


Nicolas Maduro even in the fall of 2019, said that the country is using bitcoin to bypass the sanctions of America, after all then the Central Bank conducted research on the admissibility of the use of Bitcoin and Ethereum for international reserves.

04 June 2020

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