China | City Party Secretary Assists in Mining, Accepts Bribes Exceeding One Billion RMB; Launches National-Level Digital Trading Platform

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China | City Party Secretary Assists in Mining, Accepts Bribes Exceeding One Billion RMB; Launches National-Level Digital Trading Platform

Chinese officials were reported to have provided various subsidies to miners, including electricity, from 2017 to 2021, receiving bribes totaling 125 million RMB. Meanwhile, Chinese media reported that the first national-level compliant secondary digital asset trading platform will be launched on 1/1.

Deputy Secretary Assists in Mining

According to reports, Xiao Yi, former member of the Jiangxi Provincial Political Consultative Conference (CPPCC) and deputy chairman, has been accused of bribery and abuse of power. He held the following positions from 2008 to 2021:

  • Director of the Jiangxi Provincial People's Government Beijing Office

  • Secretary of the Fuzhou Municipal Party Committee in Jiangxi Province

  • Deputy Chairman of the Jiangxi Provincial CPPCC

He provided assistance to others in matters such as project contracting, project development, and job promotion, and illegally accepted a total of over 125 million yuan in bribes.

In addition, during his tenure as Secretary of the Fuzhou Municipal Party Committee from 2017 to 2021, Xiao Yi provided financial subsidies, funding support, and power supply guarantees to miners. He pleaded guilty in court, and the sentencing will be announced at a later date.

China's Ban Was False

China announced a ban on cryptocurrency trading in May last year and further cracked down on mining activities in June, causing the country's Bitcoin hash rate to plummet to almost zero by October last year.

However, according to the Cambridge Centre for Alternative Finance (CCAF) at the University of Cambridge, as shown in the distribution of Bitcoin hash rate by country, China has once again become a major mining hub, ranking second as of January 2022:

  • 37.8%: United States (in red)

  • 21.1%: China (in yellow)

  • 13.2%: Kazakhstan

  • 6.48%: Canada

  • 4.66%: Russia

Distribution of Hash Rate by Country | ccaf.io

Launch of Chinese Digital Asset Trading Platform

According to China Daily, the Chinese digital asset trading platform is jointly created by the China Technology Exchange, China Cultural Exchange Center, and Hua Ban Digital Copyright Service Center Co., Ltd. It is the country's first national-level compliant digital asset secondary trading platform.

The types of assets traded include intellectual property, digital copyrights, digital collectibles, and it will launch on January 1st.