Second Hand Rigs Are Dumped as the Solo Mining Dream Dies


In the summer season of 2017, rising cryptocurrency costs led to a run on excessive efficiency graphics playing cards. Coveted playing cards with a excessive hashrate had been snapped up like proverbial scorching truffles, leaving avid gamers, scientific researchers, and anybody else who relied on flagship GPUs priced out as the cryptocurrency frenzy escalated. One yr on, and those self same graphics playing cards may be acquired for cut price costs.

Additionally learn: SHA-256 Mining Hashrate Climbs Considerably in One 12 months

From Sizzling Property to Out of date

It was the summer season of 2017 and the Geoforce 1070, Nvidia’s second-most highly effective graphics card, was retailing for $450. There was only one downside: nobody might pay money for one. In PC shops round the world, naked cabinets occupied the area the place avid gamers’ go-to improve ought to sit. That’s as a result of a cryptocurrency mining growth, the likes of which had by no means been seen earlier than, was in full swing, with crypto miners clearing shops and wholesalers of all the items they may lay palms on.

Whereas pc retailers in lots of international locations ran dry of fascinating GPUs such as the 1070 and Radeon 570, on second-hand marketplaces they may nonetheless be acquired – for a premium. From final summer season into early 2018, when crypto mania was at its peak, playing cards such as the $400 1070 usually traded palms for $800 or extra. The wailing of avid gamers was drowned out by the whirr of cooling followers as miners overclocked their newly acquired GPUs and began crunching numbers in change for altcoins. Bitcoin was solely minable on ASICs by then, and ethereum was heading that means too, however smaller cash such as sia, monero, and zcash, as nicely as a whole lot of lesser identified microcap cash, had been nonetheless viable.

Second Hand Rigs Are Dumped as the Solo Mining Dream Dies
A few of the mining rigs presently listed on Gumtree in the UK

One yr on from the summer season of shitcoins and the worth of all main cryptocurrencies has taken a tumble, whereas community hashrates have continued to rise. BTC, ETH, and all the relaxation may be price greater than they had been a yr in the past, however their ballooning hashrate has meant that mining on GPUs is scarcely worthwhile, inflicting secondary market provide to exceed demand as soon as extra. It’s now the flip of avid gamers, knowledge researchers, and scientists to brag, as they snap up low cost graphics playing cards offloaded by former miners whose dream has died.

Second Hand Mining Rigs Are Low cost – However Who’s Shopping for?

Second Hand Rigs Are Dumped as the Solo Mining Dream DiesA go searching Craigslist and Gumtree, two of the main P2P marketplaces in the UK and US, exhibits the type of mining rigs that may now be acquired. A lot of these on the market have seen lower than six months’ use, suggesting that their authentic house owners could not even have turned a revenue earlier than offloading them. In the Bay Space, one vendor is providing 16x 1080s for $three,950 – or about $246 a card. The vendor professes to have paid over $four,000 for them however to have made most of the prices again from mining.

In the similar space, somebody’s promoting a bunch of 1070s and 1080s at $375/$425 apiece. “Since I bought too many rigs and electrical charges for tier three excessive electrical use is just too excessive for me at 45 cents watt price, I’ve determined I must promote some,” they clarify. Considered one of the rigs seems precarious, to place it mildly. Over in the UK, Gumtree is presently displaying 42 mining rigs on the market, together with a construct of 7x RX480s, “Now surplus to requirement, inbuilt Q1 2017 for a good friend”. There’s additionally a rig of 8x 1070s going for round $four,500.

For the first time in a very long time, single GPUs are promoting secondhand for lower than their RRP, displaying that the crypto mining growth is over, for now. Whereas hashrates – like market costs – can fall, it’s unlikely that circumstances will make it worthwhile to solo mine with a handful of GPUs once more. With mining transferring to cooler climes with cheaper vitality, and from residential areas to objective constructed farms, the period of novice mining is nearly over. Apart from the lowered profitability of solo mining on GPUs, there’s one more reason why many sellers appear to have determined to name it a day: there merely isn’t room.

Second Hand Rigs Are Dumped as the Solo Mining Dream Dies
The worth of the 1070 spiked in January earlier than declining

Judging by the causes cited in lots of labeled advertisements, a change of circumstances – normally an impending transfer or a brand new girlfriend – is commonly the remaining straw. Like accepting your band won’t ever make it and promoting your electrical guitar, promoting your mining rig may be construed as the acknowledgement that the crypto dream is over with out having made you wealthy. As most sellers will certainly aver, although, it was a blast – a loud, scorching blast that was enjoyable whereas it lasted.

Do you suppose the period of solo GPU mining is over? Tell us in the feedback part under.

Photos courtesy of Gumtree, Twitter, and Craigslist.

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About Tom Greenly

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