Mining companies: Bitcoin mining is basically not affected by the epidemic, and the price is the most worrying

Recently, some large mining companies in the world said that Bitcoin mining activities are basically not affected by COVID-19-except for the price drop of Bitcoin.


Source: Pixabay

Four Bitcoin mining companies told Decrypt that although the supply chain of some newer mining machines has been interrupted, they have not faced too many problems. One company has fully adapted to this situation, and now all employees are working remotely. With the improvement of China's new crown epidemic situation, the current situation began to return to normal.

"More and more people are going to work in the office, go to restaurants, and go out. Of course, everyone takes Covid-19 very seriously, wearing a mask, but the situation has gradually returned to normal. Therefore, regarding the supply chain in the near future In the future, I do not expect any problems in China. "Thomas Heller, Global Business Director of F2Pool Pool told Decrypt.

Despite the blockade, some miners have found new ways to adapt. According to mining company Argo Blockchain, the entire company is already working online.

"Our company and employees are now working remotely, and all of our mining facilities can continue to operate normally," an Argo spokesperson said.

The spokesperson said:

"So far, our mining equipment suppliers have not had any problems. At present, we see that the increase in demand is more due to the halving of Bitcoin in May, rather than Covid-19. We hope that the suppliers will eventually be on time Delivery and installation of our newly ordered 1,000 S17 + miners. "

However, the closure of the global supply chain has affected some Bitcoin mining companies.

Covid-19 still brings some headaches

Several miners encountered supply chain problems when acquiring new machines.

Heller explained:

"Due to traffic restrictions, some mines in China faced some challenges during February. In some places, damaged machines could not be sent to the on-site repair center. Due to the shutdown of the mine, the shipment of new miners was delayed in early February About two weeks. "

Chinese mining machine manufacturer Whatsminer reported a similar disruption, and he told Decrypt that the blockade has affected their supply chain.

"Since the factory workers did not return after the holiday in February, it slowed down the manufacturing industry, and it was difficult to obtain spare parts such as PSU." But Whatsminer has delivered m30 series mining equipment, so it is not affected .

Philis Salter, head of operations at Genesis Mining, said that despite some confusion, this is a problem that most mainstream companies have to face.

"Supply chains around the world have been suspended, so our new projects are progressing slower than planned. But now everyone is the same."

Demand for mining machines declines

Although the supply of mining machines is largely unaffected, the demand for new mining machines is declining. Mining experts blame the decline in bitcoin prices before the halving of bitcoin in May, which will cut mining revenue by half.

An Argo spokesperson said:

"Our understanding of the market is that because many mining companies have chosen a more cautious approach before halving, the demand for the latest and most efficient mining machines has slowed."

Genesis Mining added that this can be seen from the reduction in Bitcoin's computing power (the total computing power of Bitcoin miners to keep the network running). The reduced difficulty of mining means fewer miners are mining.

They added:

"The difficulty has decreased. This is not a direct impact of Covid-19, but because the price has dropped. This makes many miners unprofitable and they have to shut down the mining machine."

Price is what Bitcoin miners are most worried about, not Covid-19.

This article is compiled and released under the authority of Decrypt .