Nvidia is desperately trying to stop its chips from being used for crypto mining
But in the last few months, it has become harder to find a high-end Nvidia chip in stock. PC gamers are constantly on the lookout for new hardware and find it increasingly difficult to buy new parts. While the global semiconductor shortage is partially responsible for the vacuum, crypto miners are one of the main reasons behind the sudden yet prolonged shortage.
Miners have hoarded all the supply of chips they could, and legitimate users are left in the lurch. Nvidia says it has halved the Ethereum hash rate of new RTX 3080, 3070, and 3060 Ti graphics cards to discourage sales for mining. These cards will start shipping from May and carry a new tag that identifies them as "Lite Hash Rate." It also added that all existing cards would continue to work as usual, and the lower hast rate is applicable only on newer chips.
"RTX 3060 software drivers are designed to detect specific attributes of the Ethereum cryptocurrency mining algorithm and limit the hash rate, or cryptocurrency mining efficiency, by around 50%,” Nvidia's said.
Reducing the hash rate downgrades the GPU performance while trying to mine Ethereum but will have close to zero effect on actual gaming or computing. Nvidia stated that the move is deliberate and will cut back on the cards' ability to perform calculations for validating transactions on the Ethereum network.
Nvidia's stock is also now increasingly tied to the enormous swings in cryptocurrency markets. As the company has stated before, its priority is to ensure its gaming cards end up "in the hands of gamers."
There's a unique lineup for mining equipment by Nvidia, and it's called Cryptocurrency Mining Processor (
The shortage is so acute, that many vendors in the US and Europe are forced to use a lottery or randomised token system to sell these GPUs. The grey market has picked up massively and cards are selling at a premium that can be upwards of 100%.
The process of mining is also the primary reason why Tesla walked away from Bitcoin payments. The mining process requires a lot of energy, which is usually generated from fossil fuels -- ultimately defeating the purpose of getting a green Tesla.
Cryptocurrency crash brings down Binance, WazirX and other exchanges – users fume as orders fail
A cup of regular tea has never been this expensive in India, thanks to kooky weather
The first seat on Jeff Bezos’ rocket to space is selling for a record high of $2.8 million
Popular on BI
- I was working toward a promotion at Amazon when my manager started emailing me about needing coaching. Now I'm worried about losing my job.
- Google's head of mental health and wellbeing was among the 12,000 workers laid off by the tech giant
- Mercedes-Benz says it has achieved Level 3 automation, which requires less driver input, surpassing the self-driving capabilities of Tesla and other major US automakers
- Grit, tears, joy: Novak Djokovic claims his 10th Australian Open crown, moves closer to ending the GOAT debate
- Manu Kumar Jain departs from Xiaomi, nearly a decade after working for the Chinese smartphone maker
- L&T reports ₹2,553 crore Q3 net profit, sees boost from major private capex investments
- Tech Mahindra’s Q3 net profit slips 5.2% on year to ₹1,297 crore
- Rumors suggest OnePlus is testing V Fold and V Flip foldable smartphones