Market

Blockchain Gold Rush 2.0

In a gold rush, the vendors of shovels (hardware) are rewarded with the greatest profits, not the prospectors (blockchain miners).

The price of a blockchain mining computer is correlated not to production cost, but to Crypto Currency mining production. In most businesses an investment payback of only 1 year is a dream scenario. For example, if the miner’s daily profits are $7 a day per mining computer, a mining computer price of $2550, means miner get a payback of just 1 year.  If the miner’s daily profits increases to $12 because Crypto Currency prices rise, the mining computer price can increase to $4380, and the miner will still get a payback of just 1 year. If the payback is too quick compared to price, naturally the miner producer will not sell miners, and instead just mine without selling.

Technavio analysts estimates that the market for cryptocurrency mining hardware currently totals US$ 6,8 billion in 2020 with a CAGR of
over 7,4%. (source: Technavio Cryptocurrency Mining Hardware Market by Product and Geography – Forecast and Analysis 2020-2024)”

The Production Ready Scrypt ASIC is developed to meet the needs of mining blockchain accountants within this most profitable market niche, due to superior effiency compared to current hardware in the market, reducing energy use by a factor of 300%-500%.

Nvidia Corp. designs graphics processing units for the gaming and professional markets, as well as system on a chip units for the mobile computing and automotive market. Nvidia has a market cap of over US$ 300 Billion. Nvidia`s GPUs were popular in mining some years ago but has lost their efficiency advantage over ASICs.