According to a report, the crackdown by China on Bitcoin mining has resulted in a rise in Thai investors who have purchased and operate mining rigs. This report states that these investors make between $30 and $40 each day by mining rigs.
Chinese Crackdown: The Effects on Mining Rig Price
The number of bitcoin miners in Thailand surged in 2021 after China’s ongoing crackdown on bitcoin mining forced major players in the industry to quit or to ship their equipment to countries with friendlier regulations.
Aljazeera reports that a short price decline following the restrictions allowed smaller investors to purchase the mining equipment from fleeing Chinese miners. Although prices of mining rigs have since returned to more than $13,000 for each new machine, it’s suggested that demand for the machines has not waned.
The report includes Pongsakorn Tngtaveenan as a businessman that has bought the Antminer SJ19 Pros from Chinese miners and sold them to local investors. Tongtaveenan shares his views on why other countrymen invest in mining rigs.
He stated:
Bitcoin is the virtual gold. But a mining rig is like gold mining stocks: you’re paid dividends according to the gold price. There’s around 100,000 Thai miners now.
Thai Investors Eye Mining Opportunities in Laos
The report states that some miners make between $30-40 per hour running these machines. For others, like one unnamed bitcoin enthusiast-turned-miner, the Chinese crackdown proved to be an important turning point.
“The moment China banned crypto, we were ecstatic. I made it all back in three months,” said the miner who claims to have used $30,000 to kickstart his solar-powered mining operation.
According to reports, larger Thai investors may be considering opening operations in Laos. Six companies were granted mining licenses recently and electricity costs are cheaper there. Thai investors who wish to invest into Laos must meet similar terms to other investors. They will need to purchase electricity at $1 million per year from the Laotian grid and pay a high operating fee.
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