As per the latest reports, Bitmain has made an announcement that is going to prove very promising for the miner firms in China. Bitmain is one of the most prominent and famous companies in the world when it comes to setting up infrastructure for cryptocurrencies.
One of the major creations of Bitmain is the Antminer brand that the company has sold all over the world for the purpose of mining cryptocurrencies. Antminer is a rig that has been created by Bitmain that is known for having high-end hardware for the mining of cryptocurrencies and Bitcoin.
The company has recently announced that it is going to discontinue the sale of new machines for mining. The company has confirmed that it is going to be a temporary move made by the company in order to provide support to cryptocurrency mining firms.
From the beginning of June, China has gone on a crackdown spree on cryptocurrency firms. The Chinese regulators are taking down any company that has any ties or anything to do with cryptocurrencies. This is where the mining firms in China have found themselves facing the worst time since their operational commencement.
China has issued orders for all cryptocurrency mining firms to shut down their mining activities with immediate effect. As China was the top country generating more than 34% of the world’s total Bitcoin hashrate, then it is expected to have a tremendous number of mining rigs. As a result of the shutdown, all these firms either have the option of relocating or shut down their operations for good.
While some firms with sources are relocating to other countries such as Ukraine, the USA, and other regions, the majority of them are shutting down permanently. Therefore, China now has an abundance of second-hand mining rigs that are still of very high value.
Therefore, Bitmain has announced it will not sell new rigs until such firms are able to offload their supplies of mining devices and hardware. This move from Bitmain would prove extremely beneficial for firms that have ended their mining operations on a permanent basis.
The Bitmain officials have announced that they will suspend their sales service immediately to offload some of the pressure the second-hand market is currently facing with mining rigs.
Bitmain made an official statement about the discontinuation of sales of the rigs on Thursday, June 24, 2021. The announcement was made by the executives of the company through WeChat. With the discontinuation of brand new rigs, the companies will have the opportunity to sell their second-hand mining rigs.
Right from the beginning of 2021, Bitmain has struggled to keep up with the high demand for Bitcoin mining rigs. This would eventually help Bitmain in being able to produce enough rigs so it can meet the mining rigs demand for the upcoming months.
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