After recently celebrating its first anniversary, the developers of Bitcoin Cash unveiled their plans for a new hard fork of the currency. However, this positive development has come amidst a worrisome piece of news released by GMO Internet. The Japanese mining firm has stated that it will halt all BCH mining operations in the near future.

GMO Internet Announces a Big Change

For cryptocurrency mining firms, profitability is the primary aspect of pursuit at all times. In the case of GMO Internet, the Japanese firm has tried to use a ‘split-strategy’ by mining both Bitcoin and Bitcoin Cash to maximize their returns but to poor effect.

According to company sources, GMO Internet will halt its Bitcoin Cash mining venture altogether. This is primarily because it has become far less profitable to explore this option, mainly due to falling currency prices. Bitcoin simply presents a stronger case in terms of mining right now, although the situation can change in the future. This change has been in the works for some time now, as GMO has been reducing its Bitcoin Cash mining efforts for some time now.

Although the BCH community will not be happy about this, GMO is a company trying to turn a profit. Cutting dead weight and operations which are not performing adequately will always take priority over everything else.

Final Thoughts

When major mining firms halt their operations pertaining to any particular altcoin, a setback is bound to be incurred. However, this latest development is unlikely to cause any negative pressure on the price of Bitcoin Cash, especially since fewer coins will be mined and sold off directly.

None of the information on this website is investment or financial advice. CryptoMode is not responsible for any financial losses sustained by acting on information provided on this website.

Check out our weekly crypto and fintech newsletter here! Follow CryptoMode on Twitter, Youtube and TikTok for news updates!