Chinese Bitcoin Miners Sell Used Mining Rigs on Second Hand Markets
A growing number of Bitcoin miners are flogging their mining rigs on the second-hand trading platform Xianyu of Alibaba Groups after China’s ruling on ICOs and exchanges.
A Wuhan-based miner undersells 50 pieces of Colorful H81a-BTC motherboards.
“These boards were manufactured this June. I only used it for two months. They still work. 180 rmb and they are yours. ”
When searched for words like “miners” or “ant” or “BTC”, I found that Colorful is the most common miner brand available on second-hand markets, followed by Antminer. And owners are selling them at ridiculously low price. On the website of Cybtc.com, the price of a second hand Antminer goes from 2300 rmb to 13000 rmb.
Why miners are selling their machines at such a low price when Bitcoin price rallies hard?
A Bitcoin miner explains to me that:
“Seriously, I don’t care about bitcoin price anymore. There are too many regulation uncertainties. You know the government always adopts an interventionist approach in its economy. What if the authority one day suddenly announces that it’s illegal to hold coins? Now I just want to sell out all of my miners and ASICs. No more roller coasters in my life.”
But is it really a good bargain to buy these second hand GPUs and miners?
Mr. Fu who has been selling computer software and hardware at a digital mall in Hangzhou for over ten years notes that:
“Many customers buy second hand GPUs at a low price. But after one or two months, GPUs are beginning to have this or that problem. And customers would come to me to fix them and complain how expensive repairs are.”
Fu further warns that if the cap of a screw in the card becomes larger or loser, it indicates that the GPU had been repaired many times. But customers are not able to notice it when they purchase online.
As to the trend of the GPUs market, Fu said that he plans to stock a large number of GPUs and ASICs in beliefs that price will keep going up. But what if the government will ban mining and cause price crash on mining equipment?
Though Caixin reported last Sunday that the mysterious “close-to regulator” revealed that no plans are made to ban bitcoin mining, Chinese miners are concerned that regulations about banning mining farms might be imposed during the 19th NPC. And an insider revealed that Bitmain is transferring their mining services into overseas market as a way to react to regulation uncertainties.