Bitcoin value has dropped dramatically after several cryptocurrency mining operators, including Huobi Mall and BTC.TOP, suspended their Chinese operations after recent efforts from Beijing to clamp down on bitcoin mining and trading, reported Reuters.
In its first shot at virtual currency mining, a State Council committee led by Vice Premier Liu announced the crackdown on Friday.
Crypto miners use increasingly powerful, specially-designed computer equipment to verify virtual coin transactions in a process which produces crypto currencies, such as bitcoin. China’s mining operations make up around 70% of the world’s crypto supply.
The move has led to bitcoin dropping almost 50% from its all-time high, losing as much as 17% on Sunday alone.