Ethereum Miners Are Selling Their Graphics Cards

[BADecker]

Ethereum Miners Are Selling Their Graphics Cards

The digital gold rush for cryptocurrencies like ethereum has caused a scarcity of graphics cards, and PC gamers are mad. Products made primarily for gaming happen to be really good at crunching the numbers required to mine digital currency, and miners have been buying up all the graphics cards.

Can you blame them? From April of this year through the middle of June, this is what happened to the price of ethereum:

So miners bought up every modern graphics card they could find, especially popular mid-range cards like the Radeon RX 480 and 580, and GeForce GTX 1060, which are on the affordable end of graphics cards that can handle the latest video games. These cards hit the sweet spot for price and performance, both for miners and for gamers. Suddenly, there was a scarcity of cards and prices skyrocketed.

Read more and click the links at https://motherboard.vice.com/en_us/article/evd7jj/etherium-miners-are-selling-their-graphics-cards.

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[Spoetnik]

Hilarious..

The last time there was a big rush on buying GPU's was at the end of 2013 when COIN CLONING took off to staggering proportions of popularity.
I pointed out back then how shelves were cleared of anything that could be used.
eBay was flooded with users with prices skyrocketing.

Then just as i predicted..
The coin cloning craze died off and there was a mass exodus to dump and sell off all those GPU's.

Then here we go all over again with the same cycle of bullshit.. history does repeat  

And i have been here predicting it and warning you all about it all along.  

[Za1n]

Ahh, all these articles are a bit premature I'd say. Just looked on eBay and while there were more cards available than a month or so back, sellers are still charging premium prices.

A quick search for used AMD RX 580 8 GB cards only returned 66 results. Sorting by price+shipping lowest first, there were only 10 available for under $300, with most of them actually pushing the higher end of this range (closer to $300).

For reference, when they first came out, I was able to pick up MSI Armor RX 580 8GB cards for $189.00 each, shipping included. Now, the cheapest used one I could find is currently bidding at $311 + $11.65 shipping. The lowest priced Buy it now I could find is $370, shipped. The higher quality GamingX cards are still getting close to $400+.

So yeah, cards might be starting to trickle back online, but unless you want to pay 2x retail price, it is not by any means a flood of cheap cards.

Give it another month or two, and when buyers are competing to underbid each other than we will see the true flood. I expect to see the above example MSI Armor RX 580 8GB go for sub $99 or about 50% retail soon. Even then it will not be economical for most people to jump back in to mining. Once these start bottoming out at around $50-$75 each would it be a good time to consider picking up a few. Of course, I will actually be keeping my eyes more closely on used Nvidia cards, as with their better power efficiencies, I think they will be more viable option with more algorithms going forward.

[Undefined31415]

Maybe some of these articles are only trying to encourage GPU miners to panic sell.

[Za1n]

Maybe some of these articles are only trying to encourage GPU miners to panic sell.

I have thought that myself.

There were some earlier threads on the subject a week or so back on the upcoming GPU selloff panic and I know the sentiment in the thread seemed more concerned about buying a lot of the cards up cheap then panic selling off themselves.

When the true panic selling hits, there won't be much interest in buying old hardware as even the manufactures will need to put their new cards on sale just to compete with the GPU deluge that's about to hit.

Right now the secondhand market consists of just a few people trying to get out ahead of the crowd and lock in a premium price for their used cards while they still can.

[QuintLeo]

We're a long ways from any serious "panic sell" of cards, though the "correction/dip" week did cause folks to stop building NEW rigs in significant quantities for a short while - ETH network hashrate spent almost a week FLAT, but it's starting to climb slowly again.

 I don't anticipate the REAL miner shakeout for a few more months.

[stoniestfool]

I can not wait. A few more months of high diff and all those who build 1070 or 1080 rigs will be selling. I can not wait because nvidia is and always will be better gaming experience. With denevo now cracked I will get some great 4k games to enjoy.

[bearsworth]

Some people are selling, and prices have declined slightly, but I get the feeling we might see another zoom for the previous generation gpus once Vega hits. The reason is because I believe Vega won't be good for ethereum but probably more for Zcash or other types of coins. In addition, the prices might be too high considering its a brand new product as new products are always priced high. So the Rx 580 8gb might still be at these prices if we maintain these coin prices. If a correction occurs in the crypto market, it might be a rush to sell, but I still think people are willing to hold considering we know now the coins might be worth something in the future just like before.

[jezus]

All miners selling they gpu ?

[bearsworth]

Not really. I can't wait though if the gtx 1070 starts selling for anything less than $200, I'm going to start buying a bunch.

[Matkurb]

Maybe some of these articles are only trying to encourage GPU miners to panic sell.

I think so. As long as it is still profitable to mine, I will keep my cards.

[Erotic Toothpaste]

Meanwhile on gaming/tech forums people are whining how their hobby is dead because there is no cheap gpu's to buy.

[QuintLeo]

I can not wait. A few more months of high diff and all those who build 1070 or 1080 rigs will be selling. I can not wait because nvidia is and always will be better gaming experience. With denevo now cracked I will get some great 4k games to enjoy.

 I will not be selling off any of my 1070 or 1080 rigs - but I'm not mining ETH on them (and the 1080 is a BAD CHOICE for ETH mining anyway, it's a good ZEC card though).

 1070 pricing and availability HAS improved over the last week or two, but I suspect it's more that the "mining specific" AMD cards have relieved some of the pressure on those cards as they're quite a bit less expensive (when you can get them). ETH profitability drop probably HAS been a factor though.

 1080 pricing and availability never took much of a direct hit from miners, if at all, since it's NOT a good ETH card and ETH has been driving the majority of the "GPU shortage" issue.
 I'd bet that the majority of 1080 shortage was an INDIRECT effect from gamers seeing it at the same or near the same price at the 1070 and the RX 470/480/570/580 cards and deciding to "move up".

[philipma1957]

Not really. I can't wait though if the gtx 1070 starts selling for anything less than $200, I'm going to start buying a bunch.

Try early spring of 2018 for that price.

They simply bury the rx580 at zec.

And. Take a look at zec market cap.

Well under 1 billion or translation easy to pump it.

[rdluffy]

I don't think that, most of the people this time will look the past and try to mine even with a little loss trying to keep the coins to sell in future

[tf2addict]

This is total BS.  I have watches set up on nowinstock.com for AMD cards.  When one comes in stock they are literally sold out within 30 seconds.  So I don't know if too many ETH miners are selling off their cards but someone sure is hell is buying the new stock.  And given the prices on EBay people still seem to be paying premiums.

There was just a story Friday about flying in new cards on cargo 747s rather than waiting to ship them by sea.  Miners paid for that.

[Marvell1]

This is total BS.  I have watches set up on nowinstock.com for AMD cards.  When one comes in stock they are literally sold out within 30 seconds.  So I don't know if too many ETH miners are selling off their cards but someone sure is hell is buying the new stock.  And given the prices on EBay people still seem to be paying premiums.

There was just a story Friday about flying in new cards on cargo 747s rather than waiting to ship them by sea.  Miners paid for that.

No, mining COMPANIES were flying in new GPUs - and mining companies have a far higher profit margin than the idiot opportunists that have been flooding in.

Yeah rumor has it it was genesis mining, the article is totally misleading , on top of that those GPU's were probably purchased at retail  or lower

[bearsworth]

Not really. I can't wait though if the gtx 1070 starts selling for anything less than $200, I'm going to start buying a bunch.

Try early spring of 2018 for that price.

They simply bury the rx580 at zec.

And. Take a look at zec market cap.

Well under 1 billion or translation easy to pump it.

Yeah you're right on that. I have some gtx 1070 rigs and I like that they are flexible. I can mine eth or zec and, and yes I really like ZEC since miners are doing that one.

[hanskan]

Never believe what those two salty imbeciles say. Probaby siamese twins living in their mums damp basement rubbing each other off lol

[DrG]

I don't think that, most of the people this time will look the past and try to mine even with a little loss trying to keep the coins to sell in future

That would be mining mistake #1.

Anytime you are paying more in electricity than you make in fiat it makes sense to quit mining.  If you really think the coin will go up in fiat price just buy it on an exchange. Why mine 1.5 poop coins for $5 electricity a day when you can buy 1.6 poop coins for $5 electricity - well unless you need the heat.

There is an argument for supporting your coin through decentralization but I would suspect that 90% of miners these days don't care about their coin's future, they live for the present.

Also consider the lost opportunity cost to selling cards at the peak prices and putting that money into buying the coins directly (especially with some markets down over 70% from last month).