Wu said weekly mining information 0823-0830

Wu said author | Rebecca

Editor of this issue | Colin Wu

1. Ethereum’s total network computing power hits a record high

Wu said blockchain learned that the total computing power of Ethereum network hit a record high. According to OKLink data, it was 617T on August 25, and according to Spark Pool data, it was 652T on August 26, both hitting a record high for both statistics. Although Ethereum EIP-1559 destroyed part of the transaction fees, due to the rise in Ethereum prices, the income of Ethereum miners (calculated in fiat currency) is higher than after May 20.

2. The People's Government Office of Yingjiang County, Yunnan Province, issued a notice on strictly cleaning up the illegal power supply from hydropower stations to Bitcoin "mining" enterprises

Wu said that he learned that the Office of the People's Government of Yingjiang County, Yunnan Province, issued a notice on strictly cleaning up the illegal power supply of hydropower stations to Bitcoin "mining" enterprises. The notice pointed out that all townships and Yingjiang Farms must immediately notify all hydropower stations in their jurisdiction to stop all illegal power supply to Bitcoin "mining" enterprises, move the mining machines out of the power station area before August 24, 2021, and dismantle the big data plant on their own. If the mining machine plant is not dismantled within the deadline, the county people's government will organize relevant departments to forcibly dismantle it and report to the State Energy Bureau to disconnect the hydropower station from the grid.

In addition, the notice also requires all townships and Yingjiang Farm to strengthen supervision and report the demolition of the hydropower station's big data plant to the county Development and Reform Bureau before August 25. The county Development and Reform Bureau must increase law enforcement efforts to ensure that the hydropower station's illegal power supply for Bitcoin "mining" is completely eliminated.

3. The Supreme Court ruled that virtual currency mining is a high-energy-consuming industry that the country does not encourage, and ordered Fuzhou Genesis to return nearly 500,000 graphics cards to Genesis Mining

Wu said blockchain learned that, according to the Block, Genesis suddenly suspended cryptocurrency payments to its hosting customers starting in September 2018 based on allegations that Genesis Mining failed to pay its electricity bills. Genesis Mining filed a lawsuit with the Fuzhou Intermediate People's Court in May 2019, demanding the return of its 560,000 GPUs and 60,580 AntMiner S9 Bitcoin ASIC miners. The company accused Genesis of failing to fulfill its obligations and embezzling the miners. Genesis Mining said it had decided to terminate the hosting relationship, but the other party refused to return the miners while starting to sell some of the equipment. Genesis Mining submitted a written opinion stating that, first, Fuzhou Genesis Company's application for retrial had the malicious intention of delaying the lawsuit and continuing to illegally occupy the equipment involved in the case for profit.

The Jiangxi Provincial High Court ordered Genesis to return 100,000 GPUs to Genesis Mining's mainland China subsidiary and 385,681 GPUs to Genesis Mining's Hong Kong entity. But Genesis used new evidence to petition the Supreme People's Court, asking China's highest judicial body to review the case. Earlier this year, the Supreme Court rejected the application for review, saying that according to Article 97 of the Contract Law of the People's Republic of China, after the contract is terminated, the parties can request restoration of the original state and compensation for losses. GM has the right to claim the return of the equipment. The equipment in question is still in operation and in use, and the conditions for return are met. The original judgment that Fuzhou Genesis should return the equipment to GM was not improper. However, whether there was mining income from the GPUs during this period was not reflected in the judgment.

The Supreme Court’s ruling emphasized: “The establishment of the Fuzhou data center and the safekeeping and operation of the equipment involved in this case are actually the use of equipment for high-performance computing to obtain virtual currency rewards, which is a high-energy-consuming industry that the state does not encourage. The original judgment terminated the contract and the legal relationship between the two parties, which is also in line with the current state’s adjustment direction for the industry involved in the case.”

4. KuCoin announced its entry into the Bitcoin mining pool field

Wu Blockchain learned that KuCoin announced its entry into the Bitcoin mining pool field and launched KuCoin Pool. In the future, it will launch support for cloud computing power. This move means that another leading exchange has entered the mining pool field, which will make the already crowded mining pool market even more crowded. According to CMC data, KuCoin's spot trading volume ranks sixth. KuCoin is also one of the earliest exchanges to expand overseas markets.

According to Cointelegraph, KuCoin CEO Johnny Lyu also claimed that KuCoin’s newly launched mining pool will encourage miners to participate in environmentally friendly solutions — those who use renewable energy for mining will receive fee discounts.

5. Hongqiao Hi-Tech announced the purchase of 5,600 Bitcoin and Ethereum mining machines. Previously, it was mainly engaged in government software applications.

Wu Blockchain learned that Nasdaq-listed Hongqiao Hi-Tech announced the purchase of 5,600 Bitcoin and Ethereum mining machines. 2,000 BTC mining machines are composed of high-computing power and high-efficiency models such as Ant S19 Pro and Ant S19, with a pre-computing power of 200PH/s; 3,600 ETH mining machines are composed of high-performance RTX 3070, RTX 3060 Ti and other models, with a pre-computing power of 1,700 GH/s.

In 2019, Hongqiao Hi-Tech, a foreign trade software company headquartered in Zhuhai, officially submitted the issuance details for listing (IPO) on the Nasdaq in the United States. According to the official website of Hongqiao Hi-Tech, the company was founded in October 1997 and is headquartered in Zhuhai Southern Software Park, a national software industry base in China. The company's main business is to provide customers with software applications, consulting services and system solutions required for international trade. According to Hongqiao Hi-Tech, the company's revenue in 2017 totaled US$21.6 million, and the revenue brought by government customers accounted for 30.3%.

On August 24, 2021, Hongqiao Hi-Tech disclosed that Zhao Liang officially joined Hongqiao Hi-Tech as a senior executive of the company's blockchain industry cluster, responsible for cryptocurrency mining and cutting-edge blockchain technology research and development. Zhao Liang graduated from the Department of Physics of Peking University. He served as CTO at Tudou.com and Ku6.com, former Nasdaq-listed companies, and worked for Microsoft, IBM and other companies. Zhao Liang personally owns multiple Ethereum mines. He independently developed the GPU integrated mining platform FXOS, participated in multiple public chain projects at home and abroad, and independently developed a public chain project based on warehouse big data analysis.

6. Google Play Store bans 8 crypto mining cloud computing apps

Wu said blockchain learned that according to businessinsider, Google found eight such dangerous apps in the Play Store and banned them. These applications use the usual "get rich quick" scheme to lure users to invest in "cloud mining services" and make profits. The eight software are: BitFunds - Crypto Cloud Mining, Bitcoin Miner - Cloud Mining, Bitcoin (BTC) - Pool Mining Cloud Wallet, Crypto Holic - Bitcoin Cloud Mining, Daily Bitcoin Rewards - Cloud Based Mining System, Bitcoin 2021, MineBit Pro - Crypto Cloud Mining & btc miner, Ethereum (ETH) - Pool Mining Cloud.

7. Blockstream completes $210 million in financing and will release Bitcoin mining machines in Q3 next year

Wu said blockchain learned that according to Forbes, Bitcoin infrastructure company Blockstream raised $210 million at a valuation of $3.2 billion. According to the announcement, investors include Scotland-based investment company Baillie Gifford and iFinex, the parent company of stablecoin issuer Tether, as well as Hong Kong-based cryptocurrency exchange Bitfinex.

The new funding comes with the acquisition of intellectual property from Spondoolies, an Israeli bitcoin mining hardware manufacturer specializing in ASICs, for an undisclosed sum. The Spondoolies team will also join Blockstream to build the company's ASIC division. With the raised funds, the company hopes to expand its mining operations and develop new products. "We actually expect to have Blockstream-branded miners on the market in the third quarter of next year," said Adam Back, CEO of Blockstream. This means that in addition to the migration of mining farms and mining pools to the West, the research and development and manufacturing of mining machines may also migrate from China to the West.

Part of the funds raised will be used to advance Blockstream’s Bitcoin mining products and services, and the new mining infrastructure they are building is planned to be used for many partnerships, such as their collaboration with Square, where they are developing a solar-powered mining facility.

8. Iran will lift the ban on Bitcoin mining in September

Starting from the last week of September, Iran will once again allow Bitcoin and crypto miners to operate in the country.

Iran’s Generation, Distribution and Transmission Company (Tavanir) said the ban on cryptocurrency mining imposed by the Ministry of Industry, Mining and Trade will be lifted on September 22.

The Iranian government banned Bitcoin (BTC) and cryptocurrency mining operations back in May. The decision was reportedly made at the time to prevent miners from overtaxing the power grid during the hot summer months.

In fact, Bitcoin miners have been blamed for Iran’s ongoing blackouts and power shortages. Iran has reportedly suspended electricity exports to neighboring Afghanistan. However, illegal crypto mining operations are reportedly responsible for the severe power supply crunch. As a result, only authorized miners will be able to resume operations once the ban is lifted in September.

9. Riot Blockchain’s Bitcoin mining revenue reached $31 million, up 1,540% year-on-year

Mining company Riot Blockchain Inc has reported record revenue for the second quarter of 2021. Its mining revenue in the second quarter increased 1,540% to a record $31.5 million from $1.9 million in the same period of 2020, the company said in a statement on August 23.

A significant increase in Bitcoin mining-related revenue, coupled with a 70% increase in its mining revenue margin, enabled Riot to achieve $19.3 million in net income in the second quarter of 2021. In the same period last year, Riot reported a net loss of $10.6 million.

Commenting on the company’s recent expansion, Riot CEO Jason Le said: “With the successful acquisition of Whinstone US (“Whinstone”), the company’s growth prospects have been significantly de-risked and the financial opportunities ahead are very exciting.

10. Ethereum ecological storage protocol Swarm completed a new round of funding activities, and 7 projects received funding

Wu said blockchain learned that Ethereum ecological storage protocol Swarm announced that 7 projects have become the recipients of its new round of funding. This round of funding activities funded the energy data collection and management system 7energy with BZZ tokens worth 10,000 DAI, the enhanced application Dapplet with BZZ tokens worth 5,000 DAI, the open social network OSM with BZZ tokens worth 3,000 DAI, SocialArchive with BZZ tokens worth 8,000 DAI, the electronic health record system BrainTrip with BZZ tokens worth 10,000 DAI, the digital copyright service DRS with BZZ tokens worth 10,000 DAI, and the decentralized art band Laibach with BZZ tokens worth 7,000 DAI. Swarm said that the funding activities will accelerate the construction of its ecology.

Welcome to read Wu's selected reports : Huobi exclusive report , Binance exclusive report , Bitmain series , supervision and card freezing series , Filecoin series , currency circle chaos exposure , mining farm supervision dynamics , etc.

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