FED Calls Dogecoin A Ponzi Scheme And China Continues Mining Crackdown

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Last Updated on 21 June 2021 by CryptoTips.eu

Jeroen Kok

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Bitcoin is trading at $32k, refusing to go up (above $40k) or down (under $30k) for about a month now. Meanwhile the head of the Minneapolis FED hilariously calls Dogecoin a Ponzi Scheme and China continues its crackdown on Bitcoin mining operations.

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It’s called Ponzi

The Chief Legal Officer at Coinbase, Mr Paul Grewal, ran a poll on Linkedin a week ago, asking his followers the correct pronunciation of Dogecoin.

He stated:

Grabbing a taco at lunch today, I was in line behind two guys intensely debating Doge. Their specific point of contention? How to pronounce the “ge”. I just sat there silently before quickly removing my Coinbase hat before anyone noticed. 🙂

Federal Reserve Bank of Minneaopolis President Neel Kashkari waded in on the poll, responding:

The right pronunciation is pon-zi.

You may not agree, but that is rather funny.

Chinese Crackdown continues

Chinese authorities continued their effort to stop Bitcoin mining operations in the country, this time targeting the province of Sichuan. According to reporting in local newspaper the Global Times, some 90% of all Chinese Bitcoin mining operations are now in the process of being stopped.

Shentu Qingchun, CEO of Shenzhen-based blockchain company BankLedger, explained:

We had hoped that Sichuan would be an exception during the clampdown as there is an electricity glut there in the rainy season. But Chinese regulators are now taking a uniform approach, which would overhaul and rein in the booming Bitcoin mining industry in China.

Meanwhile second hand websites are being flooded with mining material, which is eagerly being bought up by US entrepreneurs wanting to take over.

That means that more than 90 percent of Bitcoin mining capacity, or one-third of the global crypto network’s processing power, will be suspended in the short term. As a result, Chinese miners must form alliances to migrate overseas, to places such as North America and Russia.

juliuscwt / Depositphotos.com