China’s Bitcoin Mining Rig Manufacturers Pressed by Demand, Advance Orders, Devices Sold Out

26 February 2021

China's Bitcoin Mining Rig Manufacturers Pressed by Demand, Advance Orders, Devices Sold Out

A regional report from China indicates that bitcoin mining rig manufacturers have seen a massive surge in demand since the price of the leading crypto asset skyrocketed. Companies such as Canaan Creative have placed significantly sized mining rig orders while other companies like Bitmain are completely sold out.

Bitcoin Mining Rig Manufacturers Experience a Device Demand Boom

Bitcoin (BTC) prices in February have spiked considerably in value and this has fueled the BTC mining sector a great deal. On Friday, the Bitcoin network hashrate is hovering above the 150 exahash (EH/s) range and there are 21 pools directing hashrate at the blockchain.

On Sunday, February 21, 2021, BTC prices touched an all-time high (ATH) at $58,354 per unit but the price has since dropped in value since then. The price per BTC has been hovering around the $47k handle at the time of publication on Friday afternoon (EST).

On Thursday, a regional report from China details that Chinese mining device manufacturing businesses are seeing lots of demand for products. China’s Global Times contributor Yin Yeping highlights that mining machine makers [are] seeing a surge in demand.”

The report notes that Shanghai Securities News revealed that Canaan Creative shares jumped 318% this year. Moreover, the company Ebang and Ebon International shares were up 82%.

Advance-Orders and Sold Out Stock

Yeping’s report also says that Canaan has revealed it has seen a “jump in orders since last year.” Central Asia and North America were the two regions with the most demand for mining devices, Canaan detailed.

On Tuesday, Canaan told the regional publication that it has contracted advance orders from both Core Scientific and Hive Blockchain. Canaan will supply 6,400 ASIC mining machines to Hive and 6,000 mining rigs to Core Scientific.

According to Canaan, 100,000 units have been pre-ordered by customers from North America this year and the firm claims to have seen advance payments of up to $200 million. Yeping also highlights that Bitmain is completely sold out and “new products are not available yet.”

Bitmain’s website shows the company’s latest machines but the devices are indeed sold out and the website’s new orders display says “to be determined (TBD)” Microbt’s Whatsminer products are also sold out as well.

The company Innosilicon’s ASIC mining rigs are completely sold out and Ebang’s web portal says customers need to make an inquiry about orders. Ebang’s site also notes that shipments are “3-3.5 months after payment.”

The lack of ASIC availability directly from the sources has made bitcoin mining rig second market prices skyrocket. For instance, a Microbt-made Whatsminer M20S 68TH/s located in the U.S. on Ebay is selling for $5,000. Machines with 11-13TH/s are selling for $250-$800 per unit on Ebay.

What do you think about the surge in demand for bitcoin mining machines? Let us know what you think about this subject in the comments section below.

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