CryptocurrenciesHardwareNews

Is cryptocurrency mining really to blame for lack of GPU stock?

No store has enough graphics in stock to mine cryptocurrencies, manufacturers sell directly to mining farms and then the truth is manipulated and attacks a market that moves more money than the gaming market.

I know that this post will carry with it some other comments from people who do not want to see reality or who will believe the lies that are told everywhere, but hey, I don't care. I have to say to all gamers, that you are very foolish if you really believe that the mining of cryptocurrencies by GPU is to blame for the prices of graphics cards. Before getting into a rage, read the post, because I'm going to explain the truth about the GPU market and the mining of Ethereum, Zcash and other cryptocurrencies.

The first thing I want you to be clear about is that one at home can set up a miner with six or thirteen graphs, quietly and make a profit, but not everyone has the knowledge to make this practice profitable or viable. This is not, I install a program, such as Word, Firefox or any other software. It requires more advanced knowledge to configure BIOS, software, implement the wallet and manage the system.

With that said, let's get down to business. NO store in the world stock 2000-3000 graphics cards for mining cryptocurrencies and I'm talking about a very small number, that would be a small coin mining farm. A large mining farm, like Genesis Mining in Iceland, can easily have a million GPUs. What store sells you so many graphics cards? Well clearly none. These farms go directly to the manufacturer, who they ask for the volume and the manufacturer offers a price. If they reach an agreement, the containers go to the farm and that's it.

READ MORE
Windows 10: Microsoft re-bundles it, this time with the integration of an Intel driver

Here there is no store that is worth, retailer or wholesaler in between, they go directly to the manufacturer to buy the hardware. Simply sell 2000 graphics cards in a while, it is impossible, however much it may seem, a day to sell 2000 graphics in the world is a high figure that occurs on Black Friday, Christmas and very special days, imagine a million graphics cards. That supposes an inflow of capital, at the moment, brutal.

The manufacturer in question does not care relatively to use that graphics card, they want to make money. It's that easy. They will sell all the stock to a farm sooner than to put them on the market and take months to sell them, if they sell them, because they still take a year to sell that volume of product.

Of course, if the manufacturer runs out of a model or two or whatever, of a type of silicon, it does not introduce it to the market and users buy other solutions and the stock of the others of the same family ends and the price. Selling so many graphics cards, they are not sold every day, that is a ball that they are telling us, quite important, that is a volume that is given once a month, but the manufacturer will take a certain time to recover the stock.

The word 'gaming' is put on everything, even armchairs, which are labeled with a brand of dubious quality and the word gaming, absurdly, and is sold for three times its real value. Graphics cards can be used for much more than just playing games. I don't think anyone is so smart to go to a graphic designer who buys three GTX 1080 Ti (to say a model), and tell him not to buy them, they are for playing games. That person will tell you that he does what he wants with his money and that he buys what he thinks.

READ MORE
Will AMD stop producing Ryzen Threadripper processors?

Blaming cryptocurrency mining is the perfect excuse, for a single reason: people do not know how this market works, what the reality is and shit is thrown at it, while under the carpet it is sold directly, because it happens, although say otherwise. So, instead of insulting those who are dedicated to mining cryptocurrencies, you should go to hold the manufacturers to account, who are the ones who artificially raise prices. Don't let them fool you.

Show more

Roberto Solé

Director of Contents and Writing of this same website, technician in renewable energy generation systems and low voltage electrical technician. I work in front of a PC, in my free time I am in front of a PC and when I leave the house I am glued to the screen of my smartphone. Every morning when I wake up I walk across the Stargate to make some coffee and start watching YouTube videos. I once saw a dragon ... or was it a Dragonite?

7 comments

  1. Thank you, great article, you have not added that the current high price no longer makes domestic mining profitable (in Spain with twice the average price of electricity in the world it never has been).

    And that players have stopped buying, at those prices, GPUs, in the amount they used to do.

    Manufacturers feel at the crossroads of having agreed to raise prices to extinguish domestic mining, but despite that they do not want to lose the market of players, who either wake up or with those prices will disappear,

    In the sense that they will buy low-end graphics (current), and they will play at 1080p resolutions instead of being up to date to play 4k as manufacturers would like, but that at these prices it is impossible for most of that market .

    1. Man, that in Spain it is not profitable to mine…. Before it was more profitable but it still continues to be profitable even registered as self-employed…. In a few months we will see, it is clear in Spain the light is not cheap at all, between freelancers and the light they go to me about € 600 a month, 300 of light and 300 of autonomous more or less.

  2. Good explanation, clearer than water, I have 6 1060 mining, and I have bought a few others for wallapop for another miner, yes if people sell 1060 for € 150 with invoice and you see that they have only used it for 1 month, or gtx 1050ti For € 100, if you want graphics to play, stay tuned to wallapop etc, that in Spain there are 1000 people mining with 10-20 graphics that is nothing bought with a Chinese farm of 100.000 graphics, and do you know who sells them? nvidia, MSI, ASUS, YOUR BELOVED BRANDS WILL SELL THEM TO THEM, if you care so much about GAMERS, why don't they take and make gpus CAPED BY BIOS OR WHATSOEVER, SO IT CANNOT BE MINE AND ONLY BUY IT BY GAMERS ALREADY CHEAP, BECAUSE IT IS BETTER TO SELL A GTX 1060 FOR € 300 THAN ONE FOR ONLY GAMING AT € 200.
    THE RAM COSTS € 1000 THEY HAVE TRIPLED IN 1 YEAR, WE MINERS MINER WITH RAM ????, ARE YOU SAYING TO ME THAT THE RAM HAS BEEN TRIPLED BY MINERS ???? AJAJAJAJAJAAJAJAJAJAJAJ, CLARO PRO CANNOT BLAME THE RAM TO THE MINERS BECAUSE NOBODY MINE WITH RAM MEMORY, HAS ANYONE DONE ANYTHING AGAINST THE MANUFACTURERS OF RAM MEMORY? I DO NOT SEE ANYONE INSULTING SAMSUNG OR MICRON ETC ... THAT THEY PRICE THAT THEY COME FROM THE EGGS ...

  3. The problem more than all that that the author is not without reason is that manufacturers do not want to pinch their fingers with stock, so they only manufacture on request. With which if you want new graphics wait for the new generation of Nvidia or that Amd gives you for taking stock of some of its products that I doubt.

  4. Finally, someone with a brain.
    I'm a gamer and Software Engineer (GPUs for AI), when I first herd people blaming mining for card shortages I thought "That is Bull Shit."
    Pandemic, Disposable money, working from home, kids at home, etc = more computers = more GPU sales in the domestic market. Pretty simple stuff.
    Then -> Semiconductor Shortage, Why? -> Raw material shortage -> Cause -> Pandemic.
    With price increases across the board, I ask you, why would Miners pay for overpriced cards. How much do you think a single card makes? They have to get a return, you know make money, so they buy in bulk.
    You want to blame someone, blame yourself and the scalpers who are selling gamers (you wingers and dumb asses) overpriced cards.
    J

Leave an answer

Your email address will not be published. Required fields are marked with *

Button back to top