HOME INVEST MINING BEAR MARKET CAUSES PRICE DROP AT GPUS
According to a recent report by the international online magazine Computerworld sind in the recent past, prices for special graphics processors (GPUs) for cryptomining have fallen to the same extent as on the digital market. At the end of 2017 and the beginning of 2018, the costs for cryptomining increased significantly. Since the markets have plunged into a downward phase, the trend seems to have reversed.

As reported by BTC-ECHO, in the first quarter of 2018 Nvidia Corp. reported significantly higher than expected revenues in the cryptographic market. The amount of money the chip manufacturer had received for mining chips was probably 289 million US dollars. For the second quarter, however, the company had already assumed lower revenues at that time.

In particular, the news spy prices of AIBs (all-in-board graphics cards) have fallen

According to the latest report, the news spy prices for AIBs (All-In-Board Graphics Cards) have fallen, while deliveries have risen in the wake of the weakening crypto currency exchange rates. Experts like Jon Peddie Research’s Robert Dow told Computerworld that they had predicted the price slide. They add about the news spy:

“The costs of operating the mining rigs are not insignificant. And when currency prices come under pressure […], people will run the rigs and look for cheap AIBs on the secondary market hoping to save costs.”

According to a survey by Jon Peddie Research, cryptomines bought over three million AIBs worth $776 million in 2017. Most of them came from AMD, the manufacturer of semiconductors and microprocessors. At the turn of the year 2017/18, many high-end cards were sold out due to the immense price increases.

According to Computerworld, AMD’s OEM 4GB RX 580 six-packs were sold out in April of this year at a price of $3,600, compared to $2,500 today. The Nvidia GeForce GTX 1080 Founders Edition, 8GB GDDR5X PCI Express 3.0 graphics card was also sold out at prices of 1,050 US dollars, now the article is available again for 709 US dollars. Robert Dow comments the change so:

“We also believe that AMD and Nvidia had built up large inventories. This will have increased the effect. Before the price increase from AIB purchases for mining, the cost of AIBs was almost constant to slightly declining. The trend could continue until a new generation of graphics cards comes onto the market.”

New Mining Hardware for the Bitcoin secret Announced

The current price slide had not prevented producers from developing new types of mining hardware as in this review. Only in May of this year, the US company ASUS announced the release of the second generation of its Bitcoin secret cryptomining motherboard, which is scheduled to be available in stores at the beginning of the third quarter of 2018.

The Chinese technology giant Bitmain had announced the market launch of the Ethash ASIC Miner in April, which is being promoted as the “world’s strongest and most efficient Ethash ASIC Miner”. Bitmain outperformed US manufacturer Nvidia in total sales in 2017. The reported turnover was three to four billion US dollars. Bitmain controls 70 to 80 percent of the market share in BTC mining and ASICs.

The Bank of England wants to focus more on money laundering with crypto currencies in the future. This was announced by the Governor of the Central Bank of the United Kingdom this Friday at the Scottish Economics Conference. He stressed that in future the same conditions should apply to crypto currencies as to other financial instruments. In the past, the British government had recently expressed increasing concern about the potential use of crypto currencies in organised crime, terrorist financing and money laundering.

“A Brave New World” – this was the motto of the premiere of the Scottish Economics Conference this Friday. For Mark Carney, the Governor of the Central Bank of the United Kingdom, who was invited as the main speaker, crypto currencies were not part of this conference. In his speech on the future of money, he painted a somewhat enthusiastic picture of crypto currencies as digital payment alternatives of the future, instead emphasizing their dangers and shortcomings.

And this Bitcoin revolution would be mainly due to the dangers of their criminal potential

The 52-year-old Canadian warned the Scottish national economist Adam Smith quoting that although the students’ enthusiasm for Bitcoin revolution & Co. was great, they still did not live up to the demands of monetary theory.

“How well do crypto currencies fulfil the role of money? The short answer is that they fail.”

On the one hand, this is due to the lack of stability of value. On the other hand, the inefficient exchange and the low possibility of conventional payment hamper the benefit.

Although the technology currently has great learning effects for governments, it still needs legal answers.

“At present, cryptographic facilities contain a variety of problems within consumer and investor protection, market integrity, money laundering, terrorist financing, tax evasion and by evading these capital controls and international sanctions, he said, reflecting the concerns of the UK government. Recently, Prime Minister Theresa May had warned at the World Economic Forum in Davos against the criminal use of crypto currencies and emphasised that they would deal “very seriously” with them.

As worried as this may sound, the Bank of England would nevertheless refrain from a ban. Rather the time had come to occupy crypto currencies with the same conditions and standards as other financial instruments. Without these, a threat to financial stability would be quite conceivable, Carney said.

“In the future, risks to financial stability could increase if seller participation or integration into the conventional financial sector were to increase without this leading to improvements.

Bitcoin loophole – Blessing one curse and blessing another

The forthcoming Bitcoin loophole review in Buenos Aires should now provide answers, joint coordination and talks on possible regulation, Carney stressed. The Bank of England is not alone these days in its concern for anonymity within the Bitcoin loophole crypto-circle of currencies.

Last month, Federal Finance Minister Peter Altmaier and his French counterpart Bruno LeMaire had already urged in a joint letter to put crypto currencies on the agenda of the upcoming summit in Argentina. There it was important to develop international solutions to deal with the newly emerging crypto trade in the future. IMF chief Christine Lagarde, on the other hand, had last month called globally coordinated regulation “inevitable”. She, too, pointed out that regulations must focus more on the user than on the currencies themselves. In the past, Lagarde had often warned against the criminal potential of crypto currencies.

In the recently published annual report 2017, the European police authority Europol also complains about the increased use of crypto currencies. These would make cross-border work in the fight against organised crime with drugs, passport documents or weapons much more difficult.