After China announces the crackdown on cryptocurrencies, the Dubai-based investment company IBC Group plans to shut its crypto mining operations in the country.
As per the report, the investment company is planning to distribute its major mining operations to the United Arab Emirates, Canada, the Unites States, Kazakhstan, Iceland and various South American Countries.
While the company plans to end its operation in China, IBC Group relocates its headquarters to Toronto, Canada.
Khurram Shroff, the chairman of IBC Group and CEO of iMining, recently commented on China’s crackdown on crypto and stated that it is temporarily inconvenient, as their company is not able to mine cryptos anymore in several Chinese regions.
He further added, “A shift of crypto mining operations out of China will be a huge opportunity for Canada. The Toronto Stock Exchange recently listed the world’s first Bitcoin ETF, so the nation is already ahead of the curve, in terms of mainstreaming cryptocurrencies.”
In mid-April, the Chinese mining hub Xinjiang experienced a large-scale blackout, which immediately caught China’s attention towards energy consumption by the crypto mining industries in the country.
The industry experts say that initially, it would be challenging and difficult for miners to shift their business, but this migration will help in nurturing the decentralization of crypto.
Mike Novogratz of Galaxy Digital believes that this migration is a big net positive for the Bitcoin ecosystem. However, Brandon Arvanaghi, a former security engineer at Gemini, stated, “The crackdown means that Bitcoin is working, not that it’s failing.”