China’s Mining Gear Sells Out Fast

Chinese suppliers have sold out of the most popular cryptocurrency mining devices, despite a significant increase in their cost.

The prices of Antminer equipment from the Chinese company Bitmain have risen by tens of percent this year, and the most popular models have sold out, discovered a journalist from the Hong Kong publication Wen Wei Po, who visited several shops in the Chinese city of Shenzhen (Guangdong province, bordering Hong Kong) in the guise of a customer.

Due to the rapid growth of Bitcoin's price in recent months, the cost of mining has increased. The popular Antminer S21 335Th/s model now costs $55.6 thousand, 30% more than a year ago.

Despite the price increase, many people want to buy this model, but it is no longer on sale. The journalist discovered that other popular devices have also run out of stock in warehouses. Moreover, they are not available on the manufacturer's official website.

The Logistics

There is little demand for mining equipment in Mainland China due to the ban on cryptocurrency mining, so the vast majority of devices are exported. Hong Kong, on the other hand, has a well-developed logistics infrastructure, the buying and selling of miners is legal, and therefore all transport flows through it.

It is very close to Shenzhen, from where equipment can be delivered to Hong Kong in one day. From there, there are many international routes to almost anywhere in the world. Air options for quick deliveries and a longer but cheaper sea freight for transporting large quantities.

Buyers

One of the equipment suppliers said that this year, especially in recent months, they have received many customers from Ethiopia, the United States and Canada. They have imported hundreds of new machines, and some even thousands.

In early December, it was reported that Bitmain would start production of mining devices in the United States. The company called this a 'strategic step' aimed at serving North American customers more effectively.

The first batch of Antminer S21 Pro devices assembled in the US is expected to be delivered this month. According to the company, this will "significantly increase the competitiveness" of local mining companies - Bitmain's partners.