GPU mining is not profitable (Topic)

World Of Topics » Science » GPU mining is not profitable

GPU mining is not profitable


As the British newspaper Daily Telegraph informs, the fall in the rate of cryptocurrencies has led to a decrease in consumer demand for video cards used for mining. Even the release of more advanced video adapters cannot stop the further decline of electronic money.

Investors warned everyone

Investors and analysts have warned about this, but there was no particular reason to worry. Many manufacturers of these devices were counting on the increase in sales due to the cryptocurrency boom and already estimated their revenues at several hundred million dollars. The first alarming news about the fall in the rate of electronic currencies began to come from Asia after April.

Video card prices are falling and that's good

Contrary to expectations, the cost of video cards, which are widely used both for computer games and for generating new bitcoins, have halved in recent months. For example, the flagship Nvidia GTX 1080 Nvidia GTX 1080 gaming graphics card has been cut in half to around ? 400, while it was recently sold for ? 800.

Why did video cards rise in price due to digital currencies?

Easy Easy. We'll tell you now.

Digital currency is an electronic payment unit that is used only in the Global Network. It is created using mining, in the process of which high-performance computers are involved, making calculations using their own computing power and software.

That is, processors or video cards are used to process information exchange operations, which in turn leads to increased demand for these devices against the background of cryptocurrency earnings.

Nvidia and AMD cut production

The rapid drop in the rate of cryptocurrencies affected the production of video adapters. Companies like AMD and Nvidia have cut their production significantly. According to experts, this, in turn, will lead to a decrease in the prices of companies' shares, as the demand for their product. Graphcore and ASICs are expected to compete with these video cards in the near future.

According to Californian company Nvidia, the volume of sales of video cards for mining fell from $ 289 million since the beginning of 2018 to zero in the next quarter. According to analysts, despite the successful period that Nvidia has had, video adapters from other manufacturers can be more effective for solving such problems.

There is an assumption that the value of Nvidia's securities by April next year will drop to about $ 200.

The Topic of Article: GPU mining is not profitable.
Author: Jake Pinkman