https://videocardz.com/newz/crypto-crash-forces-miners-to-sell-hundreds-of-graphics-cards-during-livestreamed-auctions
 

Miners and Internet Cafés selling their GPUs due to crypto crash

With Bitcoin and Ethereum crypto currencies rapidly loosing value miners are forced to sell the graphics cards that were hoarded for profit. We have discussed how Internet Cafés were making money by buying large number of graphics cards with sole purpose of mining. This problem appeared at the same time as Bitcoin price had skyrocketed and people were restricted from visiting Internet Cafés due to the COVID-19 pandemic. However over the course of the last few months the situation has significantly changed.
 
Miners and Café owners are now selling mining cards in masses. These cards are now sold during livestream auctions where models such as RTX 3060 Ti can be obtained by as little as 300 to 400 USD. Hoarders, Scalpers, Miners and Internet Café owners are now forced to sell their cards, which were usually purchased at much higher price anyway. But given the recent Ethereum price drop, the return of investment should now be calculated in years, rather than months. This means that miners who were looking for easy profit are now left with a choice of selling their cards as soon as possible to at least retain part of their profit, or to keep mining and hoping for crypto to bounce back.
 
Ethereum is also scheduled to switch to Proof of Stake model between Q3 and Q4 this year, ending the Proof of Work model that depends on GPU power. This leaves a very short window for miners to make profit, if there is any window at all. The alternative is to sell these cards as quickly as possible, which is exactly what is happening on Chinese auction sites. One can easily find RTX 2060 or RTX 3060 Ti listed below MSRP. However, one should note that these cards have very low value due to how extensively they were used. At least in this case graphics cards sold through auctions are clearly labeled as former mining equipment.
 
I really hope more miners shut down their rigs and sell off their GPUs. 
 

harley262
im going to pass on any used 30 series gpus and 20 series too. poor thangs memory going to be so played out. but it sucks that its going to bring used prices down so quickly, and 30 series buyers are not going to get the near windfalls the 900s, 10s and 20s used cards have gotten last couple years.
 
 

That a big misconception. Gaming kills the memory more then mining. Do some research. The only thing that might die from mining are the fans and that is usually not technically related to mining.

harley262
im going to pass on any used 30 series gpus and 20 series too. poor thangs memory going to be so played out. but it sucks that its going to bring used prices down so quickly, and 30 series buyers are not going to get the near windfalls the 900s, 10s and 20s used cards have gotten last couple years.
 
 

It is a very "buyer beware" kinda thing for sure, but it's going to be a good opportunity to swoop up a higher end card for people on tight budgets or looking for an upgrade, but don't want to shell out for a top end 40 series.
 
From a little bit of research, I can tell you that some % of miners are hanging in there and will mine ETH to the bitter end (August). So the OP's link are the early seller's trying to make a little extra cash on their assets before the flood of GPUs hit the markets.  

Miguell
i don't game 24hrs per day, 7 days per week, 365 days per year!  in my perspective mining ages the gpu chip  MUCH MUCH faster then gaming!

Maybe, maybe not. The benefit of 24/7 is consistent operation with low thermal fatigue. Heating up and cooling down over and over can be very harmful to everything other than the silicon itself. Is the silicon damaged more by 24/7 operation, or is the entire card damaged more by thermal cycles?
I think the jury is still out.
Does anyone have any published mining failure rates? Does anyone have any published gaming failure rates?

Miguell

yaymz
(...) So the OP's link are the early seller's trying to make a little extra cash on their assets before the flood of GPUs hit the markets.  

i am smiling from ear to ear! i wanna see gpu prices this Xmas specially a bit earlier on black friday... that will prolly be the sweet buying spot for this year!
 

Maybe on the used market but the profit margin on electronics is not really that high to really allow for an amazing deal. It's more likely to see a bundle with a free game, free shipping or a small rebate.

 

 

 
Go ahead, buy some completely thrashed mining cards then. Good luck with that.
 

Don't get too excited about selling their GPUs because they'll end up replacing it with the 4000 Series around the corner.  Just hope Nvidia and AIBs have their house in order for possibly massive demands but don't think it will be the same as last 3000 gen.

harley262

ty_ger07

It's almost as if you could have read reply #7 directly above yours for a counter-argument to what you said.

just like you, i have no data only opinion, so what would i reply? 

Oh, sorry, I didn't know that we were trying to debate in circles.
Do some math, people who mine 24/7 don't thermal cycle 2/5.

Hum, I know a guy that mines and he isn't selling anything. Was looking to pick up a card from him, but nope.

yaymz

kram36
Hum, I know a guy that mines and he isn't selling anything. Was looking to pick up a card from him, but nope.

I'm curious what he plans on doing with his GPU come August when there really won't be much in terms of profitable money to be made off GPU mining?  Surely he could find other uses for it like folding, building other rigs, etc..    just curious.

He his going to keep mining. What's the bid deal with August? Will GPU's stop mining in August for some reason that I should tell him about it?

yaymz

kram36

yaymz

kram36
Hum, I know a guy that mines and he isn't selling anything. Was looking to pick up a card from him, but nope.

I'm curious what he plans on doing with his GPU come August when there really won't be much in terms of profitable money to be made off GPU mining?  Surely he could find other uses for it like folding, building other rigs, etc..    just curious.

He his going to keep mining. What's the bid deal with August? Will GPU's stop mining in August for some reason that I should tell him about it?

Cliff notes version of what is happening: 
https://finance.yahoo.com/news/end-gpu-mining-crypto-crash-120459167.html
"GPUs are no longer useful for mining
As Ethereum is shifting from its proof-of-work to proof-of-stake mechanism, many miners aren’t happy, forcing them to find an alternative.
As reported by FX Empire, ETH announced that it would shift to POS between the third and fourth quarters of this year. It is a significant step as it reduces energy consumption by more than 99%, good news for environmentalists and crypto critics.
However, ETH has pushed this merge several times, disappointing expectant. Tim Beiko, a computer scientist who coordinates Ethereum developers, noted that the odds of it not happening this year are “very low.” He added"
 
This is all speculative as ETH has pushed back POS multiple times over the years, but all signs are pointing towards it happening for real this time (August).

ETH is not the only crypto that can be mined with a GPU. Right now ETH makes 8¢ profit more a day on a 3070 and only 5¢ profit a day more on a 3080 Ti. So you think ETH going POS will make such huge difference in profit that mining on a GPU is dead? That's if you sold at the current price. Sell enough to cover just your power cost and hang onto your crypto until it goes back up, then the profit is even more.

kram36
 
ETH is not the only crypto that can be mined with a GPU. Right now ETH makes 8¢ profit more a day on a 3070 and only 5¢ profit a day more on a 3080 Ti. So you think ETH going POS will make such huge difference in profit that mining on a GPU is dead? That's if you sold at the current price. Sell enough to cover just your power cost and hang onto your crypto until it goes back up, then the profit is even more.

True there will be other coins to GPU mine, but they have all been following the ETH/BTC trendline and are just far less profitable.  And just consumer confidence in crypto has fallen off a cliff.   
 
I have no idea where your buddy lives, but hopefully he frequently uses a power/crypto profitability calculator.  With crypto prices coming down and power rates going up, it would be crucial to understanding if you are even cranking any sort of profit.  Where I am at, the only chance of squeaking out a couple cent profit per day would be running only 6 hours a day, during off-peak hours (12a-6a).  Running any other time, and any variable of equipment would put me in the red.  I mean maybe he has solar and a power bank, but chances are you would make more selling power back to the grid, if so.

 

 

Nereus
 

 

 
that is funny