Bitmain Stops Selling to Mainland China

http://fullycrypto.com/

By Mark Hunter

5 hours agoMon Oct 11 2021 10:46:58

Bitmain-Stops-Selling-to-Mainland-China

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  • Bitmain has confirmed that it will cease selling its Antminer products to mainland China
  • Such an action was mooted two weeks ago in response to China’s crackdown on Bitcoin mining
  • Bitmain will have to work hard to reclaim its lost customer base

Bitmain has confirmed that it will stop selling its Antminer Bitcoin mining machines to mainland China. Such a move was anticipated two weeks ago as a reaction to the Chinese government’s decision to crack down harder than ever on Bitcoin mining in the country, which has seen vast swathes of crypto mining companies leave the country. This massively shrunk Bitmain’s Chinese market, so their decision to halt sales, both as a commercial response and also as a measure of compliance, is hardly surprising.

Bitmain Cedes to Government Action

Bitmain made the announcement on Sunday, referring to its desire to follow the rules set down by the government earlier this year (translated):

Strictly abide by the laws and regulations of the locations of the company’s entities is the operating principle that Bitmain has always adhered to. From October 11, 2021, Antminer will stop shipping to mainland China (excluding Hong Kong and Taiwan).

With barely any customers left in China the move is not surprising, and may see Bitmain move its operations overseas. This, too, was hinted at a couple of weeks ago and would make sense, although Bitmain will have to make a guess at where the largest growth in Bitcoin mining operations will be.

Existing Orders Will be Fulfilled

Bitmain has been the biggest manufacturer of Bitcoin mining equipment in the world for many years, but China’s actions could see its market share vastly reduced unless it can replace its lost Chinese customer base and secure its long term future. It is still the premiere supplier of Bitcoin mining hardware and has orders to fulfil from Bitcoin mining operators, which it says it will be able to fulfil.

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