Electricity will be returned to Chinese bitcoin miners

Two pieces of good news for the cryptocurrency space have come this year.Thursday.Bitcoin miners in Chinaare reconnected to power supplies, and shares of the cryptocurrency exchange Coinbase will not be removed from the German trading platform.

As reported by The Block with reference to the ownersseveral local farms, miners in Xinjiang have started to access the power grid from today. The changes have not yet affected all enterprises. Since the outage took place over a wide area, it will take time before the electricity supply is carried out at the same level.

“Mining farms in Xinjiang are graduallyare connected, and the devices are back online from today. It has already begun, "Thomas Heller, the former director of the Chinese pool F2Pool, and now the head of business development at the mining company Compass, wrote on Twitter.

The hashrate reduction is currently estimated at13%. On Wednesday it was 20%. Over the past time, foreign competitors of Chinese miners, such as Slushpool and Foundry USA, have managed to increase their share in the total computing power of the bitcoin network. So, the estimated hash rate of the latter increased by 30%.

The problems with Chinese miners became known inend of last week. They were triggered by checks at local coal mines following several flooding and gas explosions that killed and blocked people. The areas of miners were not affected by these phenomena in themselves, but they were forced to turn off the equipment due to the general cessation of the supply of electricity to large data centers. Initially, it was assumed that the checks would last about a week.

"As China continues to experience a dry period, the majority of miners (>80%) are still based in Xinjiang," said Mustafa Yilham, head of overseas business development at mining firm Bixin."So if 80% of miners in China as of last week were in Xinjiang and 80% were shut down, and the impact fromthis has only spread to 20-25% of the network, which means that 32-40% of the hashrate is currently concentrated in China at its maximum."

It also became known that the shares of the cryptocurrency exchangeCoinbase, which should have been removed from the Xetra trading platform and the Frankfurt Stock Exchange due to an LEI assignment error, will continue to trade as before. The delisting was supposed to take place after the end of the trading session on Friday, but Coinbase provided the correct LEI, so it is no longer necessary.

“We are aware of an administrative error due towhich Coinbase had to resubmit certain documentation to certain European stock exchanges, a company spokesman said. - There were no stoppages in trading in Coinbase stock. We are working to solve this problem as soon as possible. "

Ark Investment Management, meanwhile,continues to ramp up its holdings in Coinbase shares for the fourth day in a row. On Wednesday, it acquired 244,717 shares of COIN for a total of $ 76.3 million. Prior to that, Ark managed to invest over $ 350 million. Trading on Wednesday ended with a decrease in COIN by 2.77% around $ 312.

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