November 26, 2025
By Anjali Kochhar
China has quietly reclaimed its place among the top Bitcoin mining nations, now controlling about fourteen percent of the global Bitcoin mining capacity. This resurgence comes despite the country’s strict crypto mining ban introduced in 2021.
According to data from mining industry trackers, this return is being driven by underground miners and regional operations rather than official, public-facing initiatives. In provinces such as Xinjiang and Sichuan, miners are capitalising on cheap electricity and available data-center infrastructure to expand their activities.
Hashrate-monitoring firms estimate that by October 2025 China accounted for a full fourteen percent of the global hash rate. This development points to a stealthy but meaningful recovery. Observers say favourable energy economics and growing local demand for mining rigs are key forces behind the rebound.
Supporting this trend, mining-rig manufacturer Canaan Inc. reports a strong uptick in demand within China. This suggests that both independent and corporate miners are returning to the business even as global mining economics tighten. At the same time, miner revenue is under pressure. The “hashprice,” which measures a miner’s earnings per unit of computing power, has dropped to record lows. Factors such as weaker Bitcoin prices, lower transaction fees, and rising mining difficulty are all contributing to this decline in profitability.
Even though the Chinese government has not officially lifted its prohibition on crypto mining, experts believe local authorities may be turning a blind eye in regions where mining remains profitable. Analysts point to a possible shift in policy, especially in energy-rich provinces where electricity is cheap. This suggests the government may not be uniformly enforcing the ban.
At the same time China’s broader digital-asset strategy appears to be evolving. There is growing discussion about yuan-backed stablecoins and renewed interest in regulated token projects. These signals, combined with the mining resurgence, hint at a more nuanced approach to cryptocurrency in China.
Industry data providers are now estimating that between fifteen and twenty percent of global Bitcoin mining power might actually originate from China. That number is far higher than most observers expected given the country’s past crackdown.
For the global crypto ecosystem, China’s mining comeback could bring greater decentralisation to Bitcoin’s network. However, it also raises important questions. Is the government gradually relaxing its hardline stance or are miners simply exploiting regional incentives?
Either way, China’s renewed role in Bitcoin mining is becoming impossible to ignore.
About the author
Anjali Kochhar covers cryptocurrency and blockchain stories in India as well as globally. Having been in the field of media and journalism for over four years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.
