We all know that GPU prices have gone sky high and that there are many reasons behind it. However, Cryptocurrency is said to have a huge impact adding fuel to the fire. But many have previously asked the same question repeatedly to the graphic companies that as to how much profit did the company’s made over the ridiculous profits brought forth by the increase in prices of the cards.
According to sources, a consulting firm estimated that 25% of the graphics cards shipped in the first quarter of 2021 completely went into the hands of cryptocurrency miners. It estimated that a hefty sum in the range of $500 million was made alone by the purchase of cards by the miners.
Jon Peddie Research, who has a record of tracking the shipments of the AIBs since 1985, noticed a substantial drop in the attach rate of AIBs to PCs. The company further stated that serious cryptocurrency miners have their dedicated setups and also purchase graphics cards. We even have some casual miners who invest in a complete system just for mining cryptocurrency.
However, it’s a fact that estimating the profits earned by the graphics companies solely based on crypto miners’ purchase will not be efficient. And Cryptocurrency miners aren’t the only reason for the inflation in graphics card pricing. The pandemic also played a big role in this situation, due to which many factories were temporarily shut down, and supply chains were interested.
When it comes to the GPU market, it is undeniable that AMD and Nvidia are the undisputed leaders of the market. But both have their stance on cryptocurrency. AMD doesn’t have any problems with consumer mining on its RDNA 2 (Big Navi) graphics cards.
But, Nvidia launched its Cryptocurrency Mining Processor (CMP) line dedicated to Ethereum and cryptocurrency mining. And for its other cards implemented an anti-mining limiter on most of its GeForce RTX 30-series (Ampere) graphics cards.
