The move by China’s Code Chain to meet the demands of its mission of cryptocurrency expansion is taking the company to the United Arab Emirates (UAE), its recently-appointed Chief Strategy Officer, Ryan Xu, has confirmed. He said they have decided to move their head office to Dubai where they’ll “make investment in the blockchain industry to make the technology a new way of business in the UAE and MENA.”
Code Chain is an eco-technology company but a new entrant to the crypto mining space. It executed a Letter of Intent to acquire 61% of Xiaojin Langlang, a cryptocurrency mining center in China, last month in a move its co-CEO, David Feng, says “enables us to accelerate our move into crypto mining” based on the view that “cryptocurrency mining has gone through rapid evolution with scalability and infrastructure.” Also in March, the company disclosed its purchase of 10,000 T2T Bitcoin mining machines with Chengdu RizhanYunJisuan to produce 240 PH/s of Bitcoin mining hash rate capacity.
Globally, crypto mining activities have been getting a lot of attention of late going by the carbon emission reduction efforts across the board. The topic has been in the news again following recent coal mine accidents in China’s Xinjiang, Shanxi and Guizhou provinces which saw some mining farms shut down due to a power cut.
But there have been counter claims that the situation is not as bad as it’s being made to seem. This is evident in Tesla chief Elon Musk and Twitter boss Jack Dorsey throwing their weight behind a view that Bitcoin mining can boost the adoption of renewable energy based on a report by ARK’s Director of Research Brett Winton, along with two analysts Yassine Elmandra, and Sam Kous.
Nonetheless, Code Chain’s move to the UAE, where they plan to introduce a dirham-based stablecoin even as they finalise their crypto mining machines in the country according to Xu, indicates the crypto mining sector is not deterred by debates surrounding their likely adverse impact on the environment.
Aside from miners flocking to new cryptocurrency Chia which says it expects to help solve some of the problems created by traditional Bitcoin mining, other recent crypto mining-related activities with links to China include SOS entering an agreement to purchase 575 cryptocurrency ETH mining rigs to get about 400 GH of ETH hash rate from the mining rigs scheduled for delivery by month end. Its CEO, Yandai Wang, said they “are optimistic about the future of cryptocurrencies and Ethereum in particular.”
There is also Canaan supplying 11,760 units of its next-generation A1246 ASIC AvalonMiners to US-listed Mawson Infrastructure Group Inc to be delivered throughout 2021 to add an additional 1.05EH to the existing bitcoin mining operations in line. The order follows the claim by its CEO, Nangeng Zhang, that “institutional and retail investors alike have expressed renewed interest in the potential of digital assets” in recent months.
On the service side, Huobi Asset Management has been luring institutional investors to take advantage of favorable digital asset laws in Hong Kong and Singapore to invest in Bitcoin, Ether and other crypto mining funds.