Bitcoin trading retaining a few months rise above $51,000 has attracted Vietnam to mining crypto, and they are now buying equipment in pace.
Recently, Vietnam has started experiencing an increase in the number of people buying crypto mining equipment. As a result, more people enter the sector to mine cryptos such as ETH, BTC, and others.
A few months ago, the Vietnam mining rig market witnessed a notable decline following the 50% loss in Bitcoin value. It traded at a value below $30,000 as a result of many FUDs from China.
However, more people seek to engage in mining activities and increase buying rigs as Bitcoin trades above $50,000. The information appeared in VnExpress Monday report.
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Quang Thuan is an entrepreneur. He has a lot of shops supplying mining equipment in China Ho Chi Minh City. Quang stated that his sales have tripled compared to the past month early this September.
High Rates Of Bitcoin And Crypto Mining Rigs
The rig equipment suppliers stated that the high demand led to increased mining equipment costs in the country.
The report added that the average cost of a rig is VND30 million ($1,300) presently. Miners with the best sales are worth $3,500 to $4,400; they have AMD or Nvidia manufactured processing units. This worth is around $220 more than their price in the past month.
However, a local miner reported using VND3 billion ($130,400) to establish his Ethereum mining farm. He added that he used new rigs and hoped to recoup his funds in six months. The local miner set up the farm in the southern province of Dong Nai.
Reduced Investment Options
An 80,000 membered cryptocurrency mining group administrator Le Hung gave two major reasons while booming the Vietnam mining market. First, he said it’s because of the protracted pandemic and rise in the prices of cryptocurrencies.
Le Hung explained further that the prolonged pandemic reduced options for investments making more people join mining. Second, again, Ethereum and Bitcoin, including other cryptos, have unanimously witnessed price hikes. This has made miners start making profits while more join the industry.
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Irrespective of the increase in the demand for mining rigs, Vietnam has not fully supported crypto. The country has warned its residents severally against the digital asset class.
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The authorities in Vietnam in 2018 banned cryptocurrency as a payment option. But in 2020, they started researching cryptos partnering with TomoChain to achieve their goal. They issued all the diplomas and other educational qualifications on the blockchain under the country’s Ministry of Education.
Featured image from Pixabay, chart from TradingView.com