Video Cards, Crypto Mining Facility Demand Soars in Russia

  • 11 March 2021, Thursday, 16:00

The demand for video cards and ready-made bitcoin (BTC) and altcoin crypto mining centers is rising astronomically in Russia as more people in the nation flock to the fast-expanding sector.

Per a report from the media outlet Gazeta, data from the Russian e-commerce platform Avito revealed that last month demand for GPUs rose by 2.6 times on last year’s figures, with demand for ready-to-go data center mining facilities grew almost fourfold in the same time period.

The same media outlet quoted experts as pointing out that an increase in GPU sales pointed to a rise in altcoin mining, as BTC mining is now impossible on video cards, due to a rise in complexity.

However, the experts, including an analyst at the forex trading platform Alpari, opined that many Russians were apparently rushing into mining without a clear plan of action, and could expect to lose out unless they had “millions of dollars to spare,” as well as plentiful space and “low electricity costs.” However, they added that mining was “definitely not” advisable “on video cards.”

The Alpari analyst opined that miners “first need to draw up a business plan so as not to burn out,” adding that cryptoassets are “very volatile, so the situation for miners can change quickly.”

Regardless, mining appears to very much be on the up in Russia.

Sputnik Abkhazia reported that over 7,300 crypto mining rigs were exported from Abkhazia to Russia since the start of February alone.

A recent mining boom had left much of the area low on power for much of the past few months, leading to a temporary ban on mining and chaotic scenes in the South Caucasian de facto republic.

The ban runs until June 1 this year, and also forbids Abkhazia residents from importing mining rigs. However, customs officials are happy to allow machines to travel the opposite way over the border, with demand sky-high all over the region.

The energy crisis caused meltdowns and fires at power substations, and is not yet over, with the government recently agreeing to pass a law that will allow courts to hit illegal miners using equipment with a capacity of 300 kilowatts or above with hefty fines and prison sentences of between one and three years. Learn more: - Ethereum Miners Don’t Cause Price Volatility, Says Analyst - Miners Returning to S Korea, Where Crypto Is ‘Essential’ for 20-30s - China’s Inner Mongolia Might Push Bitcoin Miners Towards Greener Energy - Bitcoin Mining Becomes A Side Venture For Chinese Non-Crypto Firms - Bitcoin Mining in 2021: Growth, Consolidation, Renewables, and Regulation