Nvidia Ceases Their Support for Crypto-Mining
Nvidia, the beast of graphic chip production, was widely involved in the process of crypto-mining through their GPU cards. The graphic cards allowed crypto-miners to execute their operations more efficiently than ever.
As the cryptocurrency industry is growing with incredible velocity, it resulted in a surge in demand that was in Nvidia's favor. The corporation reported a 68% value increase over the period of one year, and they stated that the the increase is predominately owed to the demand on GPU cards.
Another winner of the crypto-mining spree was Nvidia's rival AMD. AMD experienced a 100% increase over the last year because of their AMD fast processing chips. They gave credit to crypto-miners for this win, as well.
With that said, this year, with Bitcoin fluctuating from over 20k down to 6k, Nvidia expected to make a 100 million USD in sales, but they were faced with only 18 million dollars in revenue, which left the crypto-mining project on a downward slope.
The Future of Nvidia
Nvidia stated that their investment in GPU cards helping crypto-miners was only a short-term opportunity for quicker returns, and they've done a great job at it.
They've decided to stop funding this project, with their CEO stating that their main products have shown incredible returns as well, even without them producing GPU cards anymore.
The CEO also said that he realizes the potential in such market, but he chooses to leave the field to the real players who solely focus on that product. He mentions Bitmain in this example, as their main focus is producing ASIC miners which surpass the GPU cards in terms of efficiency.
Nvidia still chooses to focus more on their long-term strong product lines leaving gaming fanatics anticipating new Geforce 20-series chips.