A report from the Bernstein firm ensures that Bitmain, during 2017, has entered between 3.000-4.000 million dollars, something that represents more income than the largest GPU manufacturer, NVIDIA.

Cryptocurrency mining is a more profitable industry than people think and not only for miners, but also and above all, for those who develop specialized solutions for mining. This is the case of Bitmain, who develops the Antminer, the best known and most sought-after ASICs for mining Bitcoin. They have recently announced a special ASIC for mining Ethereum. The company, which is only four years old, in 2017 would have entered between ASIC, its pool and other tools and solutions, between 3.000-4.000 million dollars, more than NVIDIA, the largest GPU manufacturer in the world.

The American NVIDIA has been in the GPU market for 24 years and develops not only gaming graphics cards, but solutions for AI, Cloud Computing, autonomous vehicles and a lot of other products. Bitmain was founded in 2013 and is four years old and thanks to its specialized ASICs for mining BTC and pools, they have managed to overshadow NVIDIA in revenue.

The report that shows us this data is from an investment research firm called Bernstein and where it stands out that a mining rig with NVIDIA GPUs is easier to assemble and find the components than Bitmain's ASICs, since these are more expensive, more complex to use, have higher consumption and are difficult to find. In addition, according to this report, the Antminer manufacturing company has 70-80% of the ASIC market and has other sources of income, such as selling mining power in the cloud or pool.

Thanks to the rise in the price of Bitcoin in 2017, the company has grown in revenue. ASICs have a variable price and the more expensive the Bitcoin is, the higher the cost of these. During the month of December 2017, when the BTC was at $ 20.000, the Antminer S9 had a price of $ 5.000, thus adjusting the price of the ASIC to the price of the BTC (and also to the strong demand, since when a new batch of these ASICs, lasts on the market, minutes)

Recently, at the end of January this year, Bitmain has signed a working agreement with Samsung, to increase production and has also asked TSMC for an increase in chip production. The Bernstein report also ensures that 'between 2-3% of TSMC's total revenue' comes from the special chips they sell to Bitmain.

Source: DayCryptoTrading