Second-largest Ethereum mining pool to suspend all operations

Due to ongoing Chinese crypto-crazy, Sparkpool, which is the second largest Ethereum mining pool, has been forced to suspend operations.

Officially, the mining pool announced Sept. 27 that it had suspended access to all new users in mainland China as a result of new measures being taken by Chinese authorities to stop crypto adoption in China.

Sparkpool has imposed initial restrictions on Friday and will continue to shut down services. It also plans to suspend existing users of mining pools in China and overseas on September 30.

Sparkpool stated that the measures are intended to protect users’ assets and respond to “regulatory policies requirements.”

SparkPool was launched in China in 2018 and has since become one of the largest Ethereum mining pools. According to Poolwatch.io, SparkPool’s mining power accounts for 22% of Ethereum’s global hashrate at the time of writing. This is slightly less than Ethermine’s 24% share.

This news comes as the Chinese government continues to reinforce its anti-cryptostance, declaring all crypto transactions illegal in China last Friday. Binance and Huobi, the largest cryptocurrency exchanges, have suspended registrations for new accounts from mainland China. However they are still able to service users in Hong Kong.

Related: Ethereum drops more that Bitcoin as China increases crypto ban, ETH/BTC at 3-week lowest

Cointelegraph reached out to SparkPool for comment but they did not respond immediately.

SparkPool’s closure comes as Ethereum continues to switch from a consensus proof-of work mechanism to a proof of stake model in 2022, part of the long-planned upgrade known at Ethereum 2.0. Cointelegraph previously reported that Ether miners won’t have many options once Ethereum 2.0 arrives. Their mining equipment will be obsolete.

https://cointelegraph.com/news/second-largest-ethereum-mining-pool-to-suspend-all-operations

Charles Griffin

Charles Griffin – Business and Transportation I am Charles Griffin with more than 10 years of experience in the Stock market industry, I am energetic about Finance and Business news, started my career as an author then, later climbing my way up towards success into senior positions. I can consider myself as the backbone behind the success and growth of Magnewspress.com with a dream to expand the reach out of the industry on a global scale. I am also a contributor and an editor of the Business News category. I experienced a critical analysis of companies and extracted the most noteworthy information for our vibrant investor network.  

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