Sales of Bitcoin mining rigs in Russia increased in Q4: Report

A new report from Kommersant revealed that sales of Bitcoin mining machines in the country increased rapidly in the fourth quarter, a trend supported by a resurgence in demand, despite the chaotic price action of the crypto-asset.

The significant increase was also spurred by cheap equipment and electricity prices.

• Chilkoot, which happens to be one of the official distributors of crypto mining rigs in Russia, witnessed more sales in the first two months of Q4 compared to all of Q3.
• In the first nine months alone, the company’s sales were recorded to be 65% higher than last year.
• According to Chilkoot’s data, mining prices fell by almost 20% during August and October. However, prices have remained the same for the past month.
• The mining hardware retailer also noted that its single-transaction equipment purchases increased by 30% compared to the beginning of the year.
• BitRiver financial analyst Vladislav Antonov believes that the price of ASIC mining rigs that are close to production costs provide a good entry point for investment.
• Despite a fairly safe start, Bitcoin’s price is currently hovering near two-year lows with a minor drop in its hash rate which stayed around 240 million Th/s.
• But Russian revenues from the minting of cryptoassets saw a multifold increase in recent times.
• This was also observed by Didar Bekbauov, the co-founder of Xive, who so,

“The hashrat growth came from Russia. Cheap electricity for households and businesses in some regions, cheap ASIC prices, sanctions, fewer investment opportunities, high-tech qualification of people made bitcoin mining very attractive industry in Russia.

• The latest development comes a few months after the Bank of Russia and the Ministry of Finance of the Russian Federation (MiFin) reached an agreement to allow crypto mining in energy-rich regions and ban it in energy-poor ones.
• Recently, the bill on the legalization of cryptomining and the sale of mined cryptoassets was introduced in Russia’s State Duma, the lower house of parliament.