China’s Largest Mining Equipment Market Sales Slow as Bitcoin Bull Running
There is a popular saying in the crypto space: the cryptominers can’t earn more than the mining machine sellers. Bitcoin’s soaring price often drives the bitcoin miner market. However, Huaqiang North Commercial Area, the largest mining equipment market in China seems to be very dull as Bitcoin hit all-time high.
In the past few years, “made in China” has firmly monopolized the design and production of all kinds of mining machinery. Huaqiang North Commercial Area in Shenzhen city has become one of the largest distribution centers of mining machinery sales in China and even in the world.
In the fourth floor of Huaqiang North Commercial Area, the words of “mining machine” are still very eye-catching. In 2017, bitcoin experienced bull market, at that time, the mining machine stores here are very popular as many stores that used to sell and assemble computers have been converted into mining machine stores.
“There will still be some foreigners looking for mining machines, there is a shortage of stock now as some people are waiting for the rainy season in March and April this year to mine, so some people will come to consult. However, compared with the previous situation, everyone’s mentality is much more stable. We sell mining machines while mining and, of course, speculates in bitcoin, so that he can earn more.”
Said a miner shop staff. Huaqiang North ‘s mining machine shop has also finished a day’s business, but their “business” is not broken: they will issue goods through WeChat every day, and they also want to “make a profit” while bitcoin price rises. However, they don’t know how the coin price will change and what will happen to the mining industry.
It is worth noting that more and more overseas investors regard bitcoin as a substitute for gold, so they transfer the assets originally used to allocate gold into bitcoin. JPMorgan Chase is the most well-known institution holding this view. It believes that bitcoin’s concept of “digital gold” is sucking investors’ money away from precious metals.