Crypto mining demand soars in Vietnam amid Bitcoin rally

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Vietnam’s cryptocurrency mining market is reportedly rebounding amid the new crypto rally, where Bitcoin (BTC) topped $ 51,000 for the first time since May.

Vietnamese crypto entrepreneurs and enthusiasts have seen a significant increase in demand for crypto mining platforms in the country, local news agency VnExpress reported on Monday.

Quang Thuan, owner of a chain of stores selling cryptocurrency miners in Ho Chi Minh City, said the company’s sales tripled in early September compared to the previous month. He noted that the mining rig market in Vietnam was down before Bitcoin climbed back above $ 50,000 in mid-August.

Rising demand has triggered noticeable price growth for crypto miners, as some devices now cost 5 million Vietnamese dong ($ 220) more than in mid-August, according to Ngoc Van, a local crypto mining enthusiast. . Top-selling miners based on graphics processing units produced by AMD or Nvidia would now cost between $ 3,500 and $ 4,400, he added.

According to Le Hung, the administrator of a local crypto mining community with nearly 80,000 members, the crypto mining market in Vietnam has warmed due to the surge in crypto and the ongoing COVID-19 pandemic. First, Bitcoin, Ether, and other cryptocurrencies simultaneously saw their prices rise and miners began to profit. Second, the pandemic has been prolonged, reducing investment options, and therefore more and more people have opted for coin mining, he said.

Related: Nvidia Not Selling As Many Crypto Mining GPUs As Expected In Q2

The Vietnamese government has maintained a skeptical stance on the cryptocurrency industry, with the finance ministry warning the public earlier this year that crypto is unregulated in the country. After banning cryptocurrency as a payment method in 2018, Vietnamese authorities urged people to avoid crypto.

Despite government hesitation, Vietnam had the highest cryptocurrency adoption rate in August among 26 other countries. The country previously ranked 13th in Bitcoin gains for 2020, despite only having the 53rd largest economy based on gross domestic product.

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