The world’s largest digital currency fell 7% to a price of $32,801 Monday morning, dropping below $33,000 for the first time since June 8, according to data from Coin Metrics.
Many bitcoin mines in Sichuan were shuttered Sunday after authorities in the southwestern Chinese province ordered a halt to crypto mining, according to a report from the Communist Party-backed newspaper Global Times.
Separately, China’s central bank said Monday it had summoned Alipay, the payments service run by Alibaba affiliate Ant Group, and some major banks urging them to crack down on crypto trading.
Bitcoin’s network is decentralized, meaning it doesn’t have any central party or middleman to approve transactions or generate new coins.
This power-intensive process has led to growing concerns over the potential environmental harm of bitcoin, with everyone from Tesla CEO Elon Musk to U.S.
However, miners in China often migrate to places like Sichuan, which are rich in hydropower, in the rainy season.