The world of cryptocurrency mining continues to evolve, drawing interest from tech enthusiasts and investors alike. As blockchain technology advances and market dynamics shift, the landscape of crypto mining in China is undergoing significant transformation. With increasing regulatory scrutiny and global trends moving toward greener alternatives, many are asking: What cryptocurrencies are currently being mined in China? And more importantly—is crypto mining still feasible within the country?
This article explores the current state of domestic mining activities, identifies the most popular coins being mined today, and provides insights into whether individuals can still participate in this space under existing conditions.
The Current State of Crypto Mining in China
While China once dominated the global crypto mining industry, recent years have seen a major policy crackdown on cryptocurrency-related activities. In 2021, the Chinese government intensified its ban on crypto mining and trading, citing financial risk control and energy consumption concerns. As a result, large-scale mining operations were forced to shut down or relocate overseas.
👉 Discover how miners adapted after the crackdown and where opportunities may still exist.
Despite these restrictions, interest in mining hasn't disappeared entirely. Some small-scale or private mining still occurs, often discreetly and using personal hardware. However, it's important to note that officially, commercial crypto mining remains prohibited in mainland China.
That said, many former miners have shifted focus to learning about blockchain technology, participating in decentralized finance (DeFi), or exploring alternative consensus mechanisms like staking—activities that don’t require energy-intensive hardware.
Top Cryptocurrencies Historically Mined in China
Even though large-scale mining has moved abroad, understanding which coins were most popular among Chinese miners helps shed light on current trends and potential future shifts if regulations change.
Bitcoin (BTC): The Evergreen Favorite
Bitcoin has always been the crown jewel of crypto mining. As the first decentralized digital currency, BTC offers strong market liquidity and long-term value retention. Its proof-of-work (PoW) mechanism made it ideal for mining with ASICs—specialized hardware widely used across China before the ban.
Although mining Bitcoin is no longer legal in China, many former miners continue to track its network difficulty, hash rate, and price movements closely. For those interested in earning BTC today, alternatives like cloud mining (outside China) or staking-based yield programs are being explored.
Ethereum (ETH): The Transition That Changed Everything
Ethereum was another major player in China’s mining ecosystem. Unlike Bitcoin, Ethereum originally supported GPU mining, making it accessible to hobbyists and smaller operators who used gaming-grade graphics cards.
However, Ethereum completed "The Merge" in 2022, transitioning from PoW to proof-of-stake (PoS). This eliminated traditional mining altogether, shifting rewards to validators who stake ETH instead. As a result, Ethereum is no longer mineable—marking the end of an era for GPU miners in China and worldwide.
👉 Learn how staking works and how it’s replacing traditional mining in modern blockchains.
Monero (XMR): Privacy-Focused Mining That Lives On
Monero stands out as one of the few privacy-centric cryptocurrencies still relying on proof-of-work mining. It uses the RandomX algorithm, optimized for CPUs, which levels the playing field and prevents ASIC dominance.
Because Monero emphasizes decentralization and privacy, it remains attractive to individual miners—even in restricted environments. Its lower hardware requirements make it feasible for home-based setups, although profitability depends heavily on electricity costs and market prices.
Zcash (ZEC): Secure and Selective Privacy
Zcash offers optional transaction anonymity through zero-knowledge proofs (zk-SNARKs). Like Bitcoin, it operates on a PoW model but allows users to shield their transaction details when desired.
Zcash mining requires specialized equipment but remains viable for dedicated miners outside China. While not as widely adopted as Monero in grassroots circles, it still holds appeal due to its advanced cryptographic security and niche use cases.
Emerging Mining Trends: Beyond Traditional Coins
As classic PoW coins face scalability and environmental challenges, new models have emerged—offering alternative ways to earn crypto through resource contribution.
Filecoin (FIL): Mining Through Storage Power
Filecoin redefines what “mining” means by rewarding users for providing decentralized storage space. Instead of solving complex math problems, miners earn FIL tokens by storing data and proving its availability over time.
This model appeals to those looking for eco-friendly alternatives to energy-heavy Bitcoin mining. While participation requires technical know-how and reliable internet infrastructure, it represents a growing trend: useful work mining, where computational power serves real-world functions.
Chia (XCH): Green Mining via Hard Drive Space
Chia Network introduced a novel concept called Proof of Space and Time, using unused hard drive space instead of raw computing power. Users "plot" their drives and earn XCH when they win block challenges.
Chia gained rapid popularity in 2021, especially in China, causing a spike in SSD and HDD prices due to high demand. Though large-scale farming has declined due to falling token value and increased competition, Chia demonstrated that low-energy mining models are both possible and scalable.
DeFi Tokens and Liquidity Mining: A New Kind of “Mining”
With traditional mining restricted, many Chinese crypto enthusiasts have turned to liquidity mining—a core component of decentralized finance (DeFi).
Unlike hardware-based mining, liquidity mining involves supplying funds to decentralized exchanges (like Uniswap or PancakeSwap) in exchange for rewards in the form of platform tokens (e.g., UNI, AAVE).
While direct access to most DeFi platforms is limited in China due to internet regulations, some users engage via virtual private networks or offshore exchanges. This shift reflects a broader trend: from physical mining rigs to digital financial participation.
Frequently Asked Questions (FAQ)
Can I legally mine cryptocurrency in China today?
No. As of 2023, cryptocurrency mining is officially banned in mainland China. Authorities classify it as an illegal financial activity due to risks related to capital outflows, energy usage, and fraud prevention.
Are there any safe alternatives to traditional mining?
Yes. Staking, yield farming on regulated platforms, and learning blockchain development are all legal ways to engage with crypto. Many users now prefer staking stablecoins or major PoS assets like Cardano or Polkadot via compliant international exchanges.
Which coin is easiest for beginners to mine?
Monero (XMR) is often recommended for beginners because it supports CPU mining and doesn’t require expensive ASICs. However, profitability varies based on electricity costs and hardware efficiency.
Is cloud mining a viable option for Chinese residents?
Most cloud mining services are based outside China and may be inaccessible or risky due to lack of regulation. Additionally, engaging in such services could violate local financial guidelines.
Will China ever allow crypto mining again?
There’s no indication of policy reversal at present. The government continues promoting its own digital currency—the e-CNY—while discouraging private cryptocurrencies.
What skills should I learn if I’m interested in crypto but can’t mine?
Focus on blockchain programming (Solidity, Rust), cybersecurity, smart contract auditing, or DeFi analytics. These skills are in high demand globally and offer long-term career potential beyond speculative mining.
Final Thoughts: The Future of Mining in a Regulated Environment
While traditional crypto mining is no longer operational within China, the spirit of decentralization lives on through education, innovation, and global participation. Former miners have pivoted to staking, trading, node operation, and blockchain entrepreneurship—adapting to a world where value creation extends beyond hashing power.
For anyone looking to enter the space today, the key lies in understanding technology trends, complying with regulations, and exploring sustainable ways to earn digital assets.
👉 Explore secure and compliant ways to grow your crypto portfolio today.
Whether you're interested in privacy coins like Monero, storage-based networks like Filecoin, or next-gen DeFi opportunities, staying informed is your best tool for navigating this dynamic ecosystem.