Jan. 8 (NBD) -- Some bitcoin mines are still running as usual despite the newly issued regulation. 

A notice released by the Office of the Leading Group for the Special Campaign against Internet Financial Risks last Tuesday urges local governments to encourage enterprises within their regions to orderly exit the bitcoin mining business. 

Data shows that Chinese mining pools control more than 70% of the Bitcoin network's collective hashrate, and they are mostly located in areas with ample water and power resources, like Sichuan and Yunnan provinces. 

Photo/VCG

A mine owner from southwest China told NBD in a telephone interview that they haven't yet received any notice from authorities, and they will cooperate as possible as they can once the specific measures come out.  

A publicity department worker of an unnamed county confirmed this, saying they haven't been informed, but probably because that the publicity department doesn't directly oversee these mines. 

What the government will clear out first will be companies stealing power or operating improperly, and his mine would not be on the list because it pays a lot for electricity and has reported to the local regulator, the above-mentioned mine owner explained. 

With regard to bitcoin mining supervision, he noted that everything has two sides and the authorities should know this better. 

Many people say bitcoin mining consume a lot of electricity, leading to energy waste. In fact, many regions in China were reported having issues of hydro and wind power curtailment. Mining bitcoins can not only make the most out of wasted energy, but contribute to revenues of local governments, he stated. 

A person close to China's central bank, however, is not on the same page, according to media reports. 

On the one hand, bitcoin mining is risky, and on the other hand, it will deal a blow to the real economy. The regulator definitely holds a negative attitude towards bitcoin mining, and it hopes bitcoin mining can disappear forever, because it has no need to exist and won't grow into a proper commercial activity, the person said. 

The mining industry thrives with the skyrocketing price of bitcoins. 

A bitcoin was worth less than 1,000 U.S. dollars in early 2017, but now soars to 15,000 U.S. dollars on average. 

An industry insider told NBD that if bitcoin mining was completely banned in China, it would be normal to see mines go abroad due to the lucrative profits. 

In fact, some large mines are taking actions to look for business opportunities overseas. 

A person with one of the large mines told NBD that his company is setting up regional headquarters in Singapore and has mining operations in the U.S. and Canada. 

BTC.Top, the third-biggest mining pool of China, is opening a facility in Canada and ViaBTC, ranked No. 4, has operations in Iceland and America, according to Bloomberg. 

Many mine operators, nevertheless, don't want to shift outside China, mostly for cost reasons. Moreover, they also have to overcome obstacles in language and regional culture when running business overseas.  

Email: lansuying@nbd.com.cn