World’s largest Bitcoin mining machine maker Bitmain suspends sales as miners flee China

  • Bitmain, the largest mining rig maker, has decided to stop sales of its machines temporarily.
  • The decision comes after China has recently banned Bitcoin mining, causing miners to cease operations in the country. 
  • The Chinese firm is shielding itself from falling prices of mining rigs. 

China’s largest maker of cryptocurrency mining machines, Bitmain, announced that it had halted the sales of the products in the spot market following Beijing’s ban on Bitcoin mining.

Chinese miners rush to sell mining machines

Cryptocurrency prices recently tumbled as the Chinese government decided to crack down on Bitcoin mining in the country. Bitmain has suspended sales of its products to help ease selling pressure following the new rules.

In late May, China’s State Council decided to halt Bitcoin trading and mining operations in the country, citing financial risks.

Since the ban, Chinese miners have been looking for ways to exit the business or move their operations overseas. Some of them are even selling machines, leading to a steep drop in the Bitcoin hashrate.

Bitmain said in a statement:

“Overseas mining sites are not built overnight, and selling pressure is huge in the secondary market.”

The mining machine maker cited that its move to suspend selling its Antminer machines globally was to “help smooth transition of the industry.”

The world’s biggest maker of Bitcoin mining machines noted that the cost of top-tier rigs plunged by about 75% since April. By halting its sales, miners looking to exit the industry can get better prices for their machines. 

Bitmain could ultimately benefit from the reduced supply of mining machines in the market in the long run, which could inflate prices. The company looks at delaying further sales to shield itself and its clients from steeper drops in the prices of mining rigs. 

The mining firm stated that it would continue to sell gear for future delivery of devices used to mine smaller altcoins, although it is unclear when business will resume. 

Beijing has taken a new level of its crackdown on digital assets this time. The Chinese government completely banned Bitcoin mining, and its central bank ordered the country’s major financial institutions to stop facilitating crypto transactions, leading to a steep plunge in cryptocurrency prices. 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed

Latest Crypto News

Latest Crypto News & Analysis

Editors’ Picks

Shiba Inu enters 96% bull run as whales continue accumulating SHIB

Ethereum whale bought $11.5 million worth of SHIB tokens on Tuesday. Shiba Inu token has reached 783,739 holders, large wallet investors accumulate SHIB tokens through the dip. SHIB was briefly the cryptocurrency with the largest turnover on exchanges Binance and Coinbase on Monday.

More Shiba Inu News

Three reasons why MATIC price will breakout to a new all-time high at $4.5

MATIC price breached a crucial resistance level that has prevented it from rallying four times over the past four months. The recent attempt seems to have an extra oomph behind it, hinting that this run-up could trigger a massive move.

More Polygon News

XLM price eyes 55% breakout if Stellar bulls can flip one crucial barrier

XLM price has been stuck trading under a crucial blockade for nearly five months. The situation is set to change soon, however, as Stellar coils up for an explosive breakout.

More Stellar Lumens News

Terra's Do Kwon files lawsuit against SEC while analysts turn bullish on LUNA

Do Kwon, Terraform Labs CEO, was served a subpoena by the SEC while appearing at Messari's Mainnet conference. According to Do Kwon and Terraform Labs' lawsuit against the SEC, the regulatory agency lacks jurisdiction over the plaintiffs. 

More Terra News


Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast