Wu said that the weekly mining information: hot and cold 0913-0926

Wu said author | Colin Wu

Editor of this issue | Colin Wu

Wu's commentary this week: Due to the Mid-Autumn Festival holiday, two weeks are combined into one week. This week, China's National Development and Reform Commission disclosed a detailed rectification notice. Now that it has been written, it is difficult to change in the future. Any institution or individual who wants to mine on a large scale should consider areas outside of China and no longer have illusions. On the other hand, Kazakhstan is short of electricity, and miners need to prepare for the coming winter. Canaan's financial report and Genesis's huge financing of US$431 million are also worthy of attention.

1. Wu said blockchain learned that on September 24, the National Development and Reform Commission and other departments disclosed a notice on the rectification of virtual currency "mining" activities (the content was released on September 3), requiring that in accordance with the overall idea of ​​"close monitoring, strict prevention of risks, strict prohibition of incremental activities, and proper handling of existing projects", all regions and departments should give full play to the joint efforts, strengthen the supervision of the entire upstream and downstream industrial chain of virtual currency "mining" activities, strictly prohibit the addition of new virtual currency "mining" projects, accelerate the orderly withdrawal of existing projects, promote the optimization of industrial structure and help achieve the carbon peak and carbon neutrality goals as scheduled; adhere to classification and treatment. Distinguish between incremental and existing virtual currency "mining" projects. It is strictly prohibited to invest in incremental projects and to develop virtual currency "mining" projects under any name; accelerate the orderly withdrawal of existing projects, and scientifically determine the withdrawal timetable and implementation path based on the actual situation of various places under the premise of ensuring a smooth transition. Adhere to laws and regulations. Use the rule of law thinking and the rule of law approach to comprehensively promote the rectification of virtual currency "mining" activities, strictly implement relevant laws, regulations and rules and regulations, and seriously investigate and rectify illegal virtual currency "mining" activities in various places.

Detailed analysis: What new ideas should be noted when cracking down on crypto mining and issuing transaction documents at the same time?

2. Wu said blockchain learned that at 10 pm on September 24, Spark Pool, the world's largest Ethereum mining pool, announced that in order to comply with China's latest industry regulatory policies, Spark Pool decided to no longer provide mining pool services to users in mainland China. The specific shutdown plan for mainland China services will be announced in the near future. We will actively cooperate with the regulatory measures of the relevant departments. Thank you for your understanding and support. OKlink shows that Spark Pool accounts for 23% of the total network computing power. NBMINER, a graphics card mining machine management software, announced that it will no longer provide technical support services to users in mainland China and disband the QQ group.

3. Nationwide Bitcoin mining inspection and rectification has started again. Wu said blockchain learned that industry insiders from various places revealed that a new nationwide inspection of virtual currency mining is being launched, and many provinces have requested another in-depth inspection to prevent "resurrection" and ensure that all equipment is dismantled and moved away.

Hebei Internet Information Office's official account said that virtual currency mining consumes huge amounts of energy, which runs counter to my country's "carbon neutrality and carbon peak" goals. Its exchange and trading have a strong disruptive effect on my country's financial order, pose a great financial risk, and are mostly related to black and gray industries; its proliferation will seriously affect economic and social development and directly threaten national security. Starting from October, relevant departments will jointly carry out regular monitoring.

4. Wu said blockchain learned that winter is approaching in Kazakhstan, and the temperature in some areas has dropped below 0 degrees. Kazakh miner Didar said on Twitter that Kazakhstan is facing a power shortage. The government is preparing for action. South Kazakhstan faces the risk of strict mining power restrictions.

Relevant people told Wu Blockchain that power shortages in winter are the norm in Kazakhstan, and this should be taken into account before building a mine in Kazakhstan. Relatively speaking, the oil and gas resources in the north are more abundant, so mines built in southern Kazakhstan will face greater pressure.

5. Wu Blockchain learned that according to the Spark Mining Pool data, the total computing power of the Ethereum network exceeded 700T, reaching a record high of 716T on September 13, up nearly 50% from the lowest point on June 26. However, the latest domestic Ethereum ASIC mining machines (Bitmain, Xindong, etc.) have not yet been shipped, and the total computing power of the network may increase again in the future. But it is worth noting that the Ethereum Foundation has repeatedly emphasized that POW will end in the first half of 2022.

6. Wu Blockchain learned that Nasdaq-listed Greenidge has ordered 10,000 S19j Pro Bitcoin mining machines from Bitmain. These mining machines are scheduled to be delivered in the second and third quarters of 2022. Industry insiders analyzed that this was largely to increase the stock price and it is highly likely that only a deposit was paid.

7. Canaan Technology's non-GAAP adjusted net profit in the second quarter was US$49.6 million, a year-on-year increase of 410%. According to Chain News, Canaan Technology, a US-listed company, released its unaudited second-quarter financial report. The financial report showed that the total computing power of mining machines sold in the second quarter reached 5.9 million TH/s, an increase of 126.9% over the same period in 2020 and 200% over the first quarter of 2021. In the second quarter of 2021, Canaan Technology achieved revenue of US$167.5 million, a year-on-year increase of 507.3% and a month-on-month increase of 168.6%. The non-GAAP adjusted net profit was US$49.6 million, a year-on-year increase of 410% and a month-on-month increase of 223.5%.

8. Wu said blockchain learned that according to FOX, this week the Miami Council agreed to obtain MiamiCoin worth about $5 million. FOX reported that MiamiCoin is the first CityCoin, a city-based token that plans to expand to other cities outside Miami. Although CityCoin has no partnership with Miami. Instead, it is completely community-sourced and community-driven. MiamiCoin requires hardware mining, and 30% of the mined coins will be deposited as donations in a virtual wallet dedicated to Miami.

Miami Mayor Francis Suarez, a strong supporter of Bitcoin, asked city commissioners to study using Bitcoin in some of its financial transactions, which could open the door for employees to be paid in Bitcoin or allow the public to pay for services with Bitcoin.

9. According to bitcoin magazine, from the beginning of the year to date, the stock investment return rate of the four major listed mining companies in North America (Marathon Digital Holdings, HUT 8 Mining, Riot Blockchain, Inc and HIVE Blockchain Technologies) reached 140%, while the return rate of Bitcoin investment was 49%.

10. Wu said blockchain learned that according to theBlock, Compass Mining has launched a new service that allows retail miners to mine Bitcoin at home. "We have received a large number of Bitcoin mining ASIC requests for people who want to mine at home." Currently, the service is only available in the United States. Compass Mining provides customers with three models: Shenma M31S+, M30S and Ant S19.

11. According to Chain News, Bitcoin mining company Genesis Digital Assets announced the completion of a strategic financing of US$431 million, led by Paradigm, with participation from NYDIG, Stoneridge, FTX, Ribbit, Electric Capital, Skybridge and Kingsway Capital. At the same time, Paradigm co-founder Matt Huang joined the board of directors of Genesis Digital Assets. Genesis Digital Assets will use the new funds to expand its clean energy-related Bitcoin mining business.

As of September 2021, Genesis Digital Assets' data center power generation exceeded 170 megawatts, with a total computing power of more than 3.3 EH/s. In the next 12 months, it will increase by another 8.6 EH/s. By the end of 2023, Genesis Digital Assets expects power generation to exceed 1.4 gigawatts (GW). In July this year, Genesis Digital Assets completed a $125 million financing, with Kingsway Capital as the investor.

12. Wu Blockchain learned that the difficulty of Bitcoin mining was increased by 3.16% again on September 21, which is the fifth consecutive increase. After China banned large-scale Bitcoin mining in May, the difficulty of mining on the entire network has dropped four times in a row.

13. Wu Blockchain learned that on September 22, BitMining (formerly 500.com) issued an announcement, announcing that it had signed a cooperation agreement with Viking Data Centers, LLC (hereinafter referred to as "VDC"). The two parties will establish a joint venture to jointly invest in the construction and operation of an 85MW cryptocurrency mining farm in Ohio, USA (hereinafter referred to as the "Ohio Mine").

According to the agreement, the joint venture will complete the construction of the mine capacity in three phases. The first phase of 11MW will be completed by October 15, 2021; the second phase of 39MW will be completed by November 15, 2021; and the third phase of 35MW will be completed by February 15, 2022.

14. Wu Blockchain learned that, according to Haberturk, the Turkish police have stepped up their crackdown on digital currency mining, and the Istanbul Police Department's anti-smuggling department team seized 73 devices used to mine cryptocurrencies in a warehouse in a commercial building in Fatih on September 20. On the same day, another address in Atasehir was raided, and another 84 devices used for cryptocurrency mining were seized, which were illegally brought to the country from Far Eastern countries.

15. According to Chain News, HIVE Blockchain, a listed mining company, announced its full-year results for the year ended March 31, 2021. The digital currency mining revenue for the fiscal year was US$66.7 million, an increase of 174% over the previous year, and the net income reached a record US$42.5 million, significantly higher than the loss of US$1.9 million in the same period last year. The mining gross profit expanded from US$8.5 million last year to US$50.1 million, and the net income per share increased from a loss of US$0.01 in the previous year to US$0.12. HIVE Blockchain mined 595 bitcoins and more than 96,300 Ethereums during the fiscal year.

Risk Warning

According to the "Risk Warning on Preventing Illegal Fund Raising in the Name of "Virtual Currency" and "Blockchain"" issued by the China Banking and Insurance Regulatory Commission and other five departments, readers are requested to abide by the laws and regulations of their region. The content of this article does not endorse the promotion of any business or investment activities. Investors are requested to raise their awareness of risk prevention. Wu said that the content of the blockchain is not allowed to be reproduced or copied without permission, and violators will be held accountable.