The value of major cryptocurrencies—including bitcoin, ethereum, cardano and dogecoin—plummeted Monday after Beijing renewed efforts to rein in the sector and severed power to bitcoin mines in Sichuan province over the weekend, one of the country’s largest producers of the digital currency. 

Key Facts

Bitcoin fell around 9% early on Monday morning after Chinese officials targeted bitcoin mines in the key province of Sichuan, part of a wider crackdown on the process through which computers solving complex problems consume huge amounts of electricity.      

China is the source of the majority of the world’s cryptocurrency trade—a 2020 study found it to account for nearly 80% of global bitcoin operations—and Sichuan is its second most intensive mining region.  

Local authorities claim the latest crackdown has cut the country’s bitcoin production by more than 90%, according to state media the Global Times.