According to a report by Kommersant, mining equipment has significantly increased in price during the first quarter of this year.
The final price, however, could be subject to variables like the dollar exchange rate and the amount of equipment being purchased.
The hike in the cost of mining equipment is largely attributed to the surge in the value of bitcoin, which has risen by over 80% in the first quarter of 2023.
Currently valued just below $30,000, the price of the first cryptocurrency is at its highest level since June 2022.
Mikhail Brezhnev, co-founder of 51ASIC, reveals that many manufacturers and suppliers have raised their prices for equipment as it has become more cost-effective and profitable.
However, the market entry threshold for individuals still stands at around 200,000 rubles, and the payback period typically ranges from one to one and a half years.
Ilya Yakimov, co-founder of Stella mining hosting, notes that while there are fewer individuals with small mining volumes, more large corporate clients are entering the market.
Yet, legislative uncertainty related to mining in Russia continues to pose a significant risk for the industry.
In March, it was reported that the Ministry of Finance of the Russian Federation was planning to make it mandatory for miners to report their income to the tax authorities, with failure to comply potentially resulting in up to four years’ imprisonment.
Despite this, the energy capacities in Russia involved in the mining of digital assets exceeded 1 GW in the first quarter of 2023.