Power used for bitcoin mining is now more than value of bitcoin.

[jos]

The price of bitcoin value has nose dived and mining operations will cost more money than  the value of bitcoin

 

Quote

 Prices below that $25.2K threshold could push miners to pause operations or mine less because they don’t want to risk spending more money on electricity than they earn from mining new tokens.

 

I hope this will result In graphics cards being sold less than msrp, and the flooding of market with mining cards. The power consumption during peek was so bad that some countries made mining illegal. Let it drop further for the pain it caused for the gamers.

Ethrium is down too

Some crypto networks have temporarily stopped trading crypto. If restrictions like these are imposed, where is the credibility. What if the network disappears and file for bankruptcy?

Quote

 Celsius Network, which has 1.7 million customers, said that "extreme market conditions" had forced it to temporarily halt all withdrawals, crypto swaps and transfers between accounts.

Etherium is now considered too centralized due to one network controlling major stakes. What uf they shuts down

The prices of graphics card has indeed fallen due to this

Quote

We're already starting to see some of these effects. Remember just a few months ago, when the RTX 3080 couldn't be found for under $1,000? It's now going for less than $650 on eBay, and we've seen listings selling groups of six RTX 3080s for as little as $2,500 — $418 each! With the current profitability of RTX 3080 mining hovering around $0.85 per day (after power costs), even hardcore miners are ready to throw in the towel and see what remaining value they can get out of their cards. Wannabe miners would still be looking at about a year and a half to break even, assuming things don't get continue getting worse.

Quote

Lido, the largest Ether staking service, has a centralization problem that’s raising red flags

S&P is down due to chances of high recession and high inflation, aided by covid, unnecessary conflicts, printing of currency in trillions, pumping the markets and rising interest rates. Will this lead to the biggest financial crash?

 

Sources

 https://www.theverge.com/2022/6/13/23165731/bitcoin-price-plummet-environment-energy-emissions

https://edition.cnn.com/2022/06/13/investing/bitcoin-price-celsius/index.html

https://fortune.com/2022/06/11/lido-largest-ether-staking-service-has-centralization-problem-raising-red-flags/

https://www.forexlive.com/technical-analysis/no-surprise-us-stocks-open-lower-20220613/

https://finance.yahoo.com/news/us-stocks-wall-st-suffers-205857075.html

https://www.bloomberg.com/news/articles/2022-06-12/powell-facing-choice-between-elevated-us-inflation-and-recession

https://www.tomshardware.com/news/graphics-card-prices-update-june-15

[AlwaysFSX]

18 minutes ago, jos said:

I hope this will result In graphics cards being sold less than msrp, and the flooding of market with mining cards.

You don't mine Bitcoin with a GPU, you use a dedicated ASIC. Other coins that exist, sure, but not Bitcoin.

[James5382]

Graphics cards haven't been used for Bitcoin mining for a while, but it may free up some being used to mine Ethereum

[jos]

58 minutes ago, AlwaysFSX said:

You don't mine Bitcoin with a GPU, you use a dedicated ASIC. Other coins that exist, sure, but not Bitcoin.

Ok, last time I tried mining was 2011, it was too co.plicated to set it up from wallet to everything. And all the data was lost due to hard-drive crash.

[Heliian]

This whole crypto thing is spiraling.  

 

There has been a string of collapses, outlook not so good.  

[Arika]

1 hour ago, jos said:

Let it drop further for the pain it caused for the gamers.

I'm all for crypto crashing and burning, but it's sure as shit not because I want gamers to benefit.

[Middcore]

This is good for bitcoin™.

[Heliian]

6 minutes ago, Arika S said:

I'm all for crypto crashing and burning, but it's sure as shit not because I want gamers to benefit.

Wha?  Can't us gamers get a break?! 

[Kisai]

4 hours ago, Arika S said:

I'm all for crypto crashing and burning, but it's sure as shit not because I want gamers to benefit.

Let it burn.

 

Let's just hope NVIDIA and AMD don't suddenly take this as a market indicator to scale back manufacturing.

 

[Rauten]

Oh no... no the crypto...

 

*sips tea*

[PeachGr]

The truth is that you don't use GPU to mine it BUT it's prices will affect cryptocurrency as a whole, so yeah; Bitcoin price affects the GPU market

[05032-Mendicant-Bias]

I'm still worried for the Nvidia 4000 series launch. The 3000 series launch was correlated havily with a pump in crypto price and an arms race. If there is another arms race among ETH miners they can again dry the supply worldwide.

Hopefully, lack of liquidity, regulations, frauds and energy prices will prevent the 4000 series from having short ROI in crypto mining. Unfortunately, I see the 4000 series as a repeat of the 2000 series, when Nvidia factors in the mining price in the launch price, leaving with an underwhelming value proposition.

[Brooksie359]

From what I understand the new gpus are going to be fairly power hungry so they may not be ideal for mining. Also it has to be profitable enough to pay for the cost of the card within a reasonable time otherwise alot of miners won't buy the new gpus. 

[Needfuldoer]

If enough miners pause their operations, doesn't that mean the system effectively grinds to a halt until the difficulty scales back to compensate (leaving the less powerful network to grind through relatively difficult blocks)?

 

Who would've guessed infinite growth was unsustainable?

Edited June 14, 2022 by Needfuldoer
/s

[DANK_AS_gay]

5 minutes ago, Needfuldoer said:

Who would've guessed infinite growth was unsustainable?

Moore's law is dead

[wseaton]

Warren Buffet must be laughing his butt off; "told you so".

[MageTank]

16 hours ago, jos said:

Let it drop further for the pain it caused for the gamers.

[Senzelian]

The power used for Bitcoin mining is now worth more than the actual bitcoins? And which price per kWh is used? Electricity prices are different depending on the country. 

[Goldilock]

16 hours ago, 05032-Mendicant-Bias said:

I'm still worried for the Nvidia 4000 series launch. The 3000 series launch was correlated havily with a pump in crypto price and an arms race. If there is another arms race among ETH miners they can again dry the supply worldwide.

Hopefully, lack of liquidity, regulations, frauds and energy prices will prevent the 4000 series from having short ROI in crypto mining. Unfortunately, I see the 4000 series as a repeat of the 2000 series, when Nvidia factors in the mining price in the launch price, leaving with an underwhelming value proposition.

I thought we already had ASIC mining for ethereum.

[Dracarris]

10 hours ago, Goldilock said:

I thought we already had ASIC mining for ethereum.

As per my very limited technical Crypto knowledge, I think ETH is ASIC-hardened.

[05032-Mendicant-Bias]

25 minutes ago, Dracarris said:

As per my very limited technical Crypto knowledge, I think ETH is ASIC-hardened.

There are custom chips to mine ETH
https://www.asicminervalue.com/miners/ipollo/v1

Other than increasing ROI, the ETH miners have a businness model where they resell spent GPU in the secondary market after use. You can't resell asics miners.

[Poinkachu]

5 minutes ago, 05032-Mendicant-Bias said:

There are custom chips to mine ETH
https://www.asicminervalue.com/miners/ipollo/v1

Other than increasing ROI, the ETH miners have a businness model where they resell spent GPU in the secondary market after use. You can't resell asics miners.

You can, just that it'll be harder, especially if ETH move to PoS.

Speaking about ETH, I heard the difficulty bomb planned for June/July delayed to August or somethin.
Although, UK miners have to stop mining earlier due to bad electricity cost & profit ratio.

[tikker]

11 hours ago, Goldilock said:

I thought we already had ASIC mining for ethereum.

There was indeed one that was the equivalen of 32 3080s. Not sure if any actually made it to the hands of actual "casual" miners though.

20 hours ago, Needfuldoer said:

If enough miners pause their operations, doesn't that mean the system effectively grinds to a halt until the difficulty scales back to compensate (leaving the less powerful network to grind through relatively difficult blocks)?

Difficulty gets adjusted every 2016 blocks. Given the aimed-for block time is 10 minutes this translates to roughly every two weeks. If hashrate drops massively all of a sudden then yeah it'll be slow for a good while.

[maplepants]

One thing I'm really looking forward with the collapse of the crypto currency scam, is that people will stop pretending blockchain technology is in any way useful.

[Unedited_Mind]

Oh that thing that has zero practical application, yeah about time the mass hysterical delusion would end.