Shenzhen Crypto Mining Hardware Retail Hotspot Becomes a Ghost Town

Supply: Adobe/Photocreo Bednarek

An iconic procuring outlet for Chinese language crypto miners has fallen beneath an eerie shroud of silence because the nation’s mining trade screeches to an abrupt halt.

The Beijing-led crackdown on mining has seen lots of the nation’s key crypto mining provinces stamp out industrial mining, with additional sanctions positioned on crypto-related banking.

All this has led to a pointy decline in {hardware} gross sales throughout the nation. World Finance Chain (by way of Jinse) reported that costs of sure items of mining {hardware} had fallen by as much as 50%. The media outlet reported that graphics playing cards have turn out to be “severely unsaleable,” to the extent that “nobody cares, even when costs are lower.”

Whereas it was laborious to even discover graphics playing cards just a few months in the past, there now seems to be a surplus of GPUs, significantly with many trying to promote their {hardware} on the second-hand market.

The report’s writer reported from the SEG Plaza in Shenzhen, town’s fifth-tallest skyscraper, positioned on the coronary heart of the busy Huaqiangbei electronics district.

The fifth and sixth flooring of the plaza have historically been dedicated to crypto mining {hardware} retail, and till very just lately, had been a veritable hive of exercise. Just some months in the past, the plaza’s mining retailers may solely supply patrons empty packing containers to take a look at, complaining that there merely weren’t sufficient GPUs out there to fulfill demand – significantly as the worldwide semiconductor disaster continues to chew.

Now, the media outlet defined, the 2 flooring have turn out to be one thing of a ghost city, even if loads of inventory is now sitting on their cabinets.

Some stall homeowners initially from different components of the nation have closed down their retailers for good and “returned to their hometowns.”

Along with plummeting GPU costs, mining-grade servers have fallen in value, additionally by round half. And the identical goes for memory-related merchandise.

A couple of months in the past, an enterprise-class 16T laborious drive would have set a purchaser again round USD 8,200, and such gadgets had been “typically out of inventory and needed to be ordered upfront.” As we speak, the worth of that very same 16T unit has fallen to simply beneath USD 3,100.

The outlet added the worth drops had been “inseparable” from China’s “tightening of mining insurance policies” and “elevated strengthening of regulation within the mining sector.”

It concluded that the tip of the mining trade in China was now a “foregone conclusion.”
Be taught extra:
– Bitcoin Mining Issue Drops to June 2020 Stage
– China’s International Bitcoin Hashrate Was On Decline Earlier than Crackdown

– Right here’s What China’s Bitcoin Mining Crackdown 2.0 Appears to be like Like
– China Is Not Finished But With Its Crackdown On Crypto Mining – Researcher

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