Investing and exchanging digital assets are ways to make a profit in the cryptocurrency market. Cryptocurrency mining provides a good opportunity to earn money. Today this...
The largest manufacturer of ASIC-miners Suspended Sales
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The largest Chinese manufacturer of asic miners, Bitmain Technologies, announced the suspension of sales of its products for bitcoin mining around the world.
The move was taken in an attempt to keep the price of miners from falling further, according to Bloomberg.
The company decided to take such a step after official Beijing banned mining in the country. As a result, crypto miners massively rushed to the secondary market in the hope of selling used mining equipment at significantly reduced prices. As a result, prices for new solutions may also collapse, and Bitmain decided to play it safe.
The company announced its decision this Wednesday through Chinese social media platforms. According to her, the cost of the most advanced ASIC miners for bitcoin mining has already decreased by almost 75% since April this year. Bitmain also announced that they will continue to sell equipment for mining other types of cryptocurrencies. Company representative in conversation with the publication Bloomberg did not say when it plans to resume selling its equipment.
In May of this year, Beijing designated cryptocurrency as an unreliable financial instrument with the highest risks for the national financial system and banned all transactions with it. Local governments from Inner Mongolia to the hydropower-rich Sichuan province, where the main Chinese mining facilities were located, recently disconnected all cryptocurrency farms from local power plants. The decisions of the Chinese government are forcing large miners to either close their enterprises completely or look for an opportunity to move to other countries. In recent weeks, the power of the Bitcoin network has declined sharply, Bloomberg notes.
A huge amount of mining equipment from Bitmain and Whatsminer companies poured into the Chinese secondary market at bargain prices. The most productive ASIC miners sell for 150 yuan (about $23) for 1 Thesh/s of computing power. Back in April of this year, when the price of one bitcoin was a record $64, the same systems were being sold at 870 yuan per 600 Thesh/s.
Last week, Bitmain held a private event for the Chinese mining community, where it promised to help crypto miners connect their equipment to the mining networks of countries such as the United States and Kazakhstan.
Bloomberg also reports that Canaan, Bitmain's mining equipment competitor, said on Wednesday that it would take over bitcoin mining itself to optimize profitability.
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