Hi I think just before a month we saw china banning ICOs and taking severe actions against bitcoin exchanges which led to the shut down of almost all the three big exchanges.We could clearly understand that chinese government is totally against bitcoin.China has the largest number of mining farms in the world.
But still china has not banned mining.So,what's actually stopping china from banning bitcoin mining totally there?
Kindly shed some light on this topic.
What's stopping? Nothing, they can do whatever they want and they don't need approval from the people or voting in parliament.
Would it be bad for Bitcoin? Yes, very, it will take a long time to reach that level of hashpower after such crackdown on mining.
Why they didn't do it already? Because they don't see it as a threat, they have banned exchanges to prevent capital flight and adoption by citizens, but they seem to be cool with an idea of converting their cheap electricity into BTC and collecting taxes/bribes from miners in $$ when they sell their coins. There's also some potential for China since they can influence Bitcoin's network, by throttling or speeding up transactions, for example, or even blacklisting addresses if they can consolidate some 70-80% of hashpower.