February 4 – Butuo County in Liangshan Yi Autonomous Prefecture, Sichuan Province, China, has issued a notice banning all virtual currency “mining” activities. The notice explicitly states that virtual currency mining is classified as outdated production processes and equipment explicitly eliminated by the Chinese government. Related business activities are deemed illegal financial activities, carrying risks including loan suspension, power cuts, internet disconnection, and credit penalties. Relevant personnel will face accountability for party discipline, government discipline, and legal responsibilities as required by law. The notice further emphasizes that civil legal acts involving investments in virtual currencies and their derivatives are invalid, with any resulting losses borne by the individuals involved. To maintain social stability and regulate market order, Butuo County has outlined three key measures: 1. Ban all forms of virtual currency mining (including but not limited to Bitcoin and Ethereum); 2. Require township governments and industry regulators in the communications and electricity sectors to step up oversight under territorial and industry management principles, and strictly crack down on illegal mining activities; 3. Encourage the public to report illegal mining activities.
