CryptoCurrency Mining with GPUs *spawn*

[eastmen]

I believe that those big pools that dont wan't it, believe there exists better methods to address the issue. But they sure as hell agree that the viability of the project cannot be maintained without "some" measure. They are not suicidal. The death of Ethereum would be the death of all of them. You cannot buy a GPU today. Thats how powerful the economy of Ethereum is.

Ultimately, EIP1599 is deflationary, which means that even if they earn less Ether, Ether value will rise. In the end, they stand to gain and the project proliferates.

you forget that they want to burn some of the eth fee instead of passing it on to the miners.

Once people stop making money they will stop mining which means less processing power which means more finite compute which means the new tip feature is going to get a huge work out because there will be even less avalible processing power

Burning ether is only going to make those holding or staked more money because there will be less ether. But with most of the big mining pools wanting to fork it could just kill ether all together.

 

[digitalwanderer]

Thanks dskneo! That was a fantastic explanation, I understood it!

 

[entity279]

Once people stop making money they will stop mining which means less processing power which means more finite compute which means the new tip feature is going to get a huge work out because there will be even less avalible processing power

This points to a missunderstanding on how the GPU compute power is used in the ETH (or others)network. The processing power is _entirely_ used for finding the next block which just means that the more gpus there are, the harder is to seize control of the network (gaining the required 51%). Few GPUS means a less secure network . Or , asuming that all actors are not malitios, it means there's more profit for each of the miners.
None of the features (like, executing contracts) of the ETH network run on the GPUS or other mining hardware. Instead, they run on the cpus of the nodes

___
With regards to mining fees, pretty sure the pools take all that and they distribute just the block reward to the gpu users. So for the end "user", with 2-3 gpus or even 2-3 fully equipped mining rigs, there's precisely 0 loss once the fees will be burned

 

[dskneo]

Exactly that.

And paradoxically the burning of fees does not work against the miner interest. Burning fees (burning Ether) makes the coin deflationary in which less of it is being made which raises the value of the coins they mine. Also, it puts less down pressure on the market (via the miners having less Ether to sell into FIAT), which also makes the coin value go up.

 

[A1xLLcqAgt0qc2RyMz0y]

With regards to mining fees, pretty sure the pools take all that and they distribute just the block reward to the gpu users. So for the end "user", with 2-3 gpus or even 2-3 fully equipped mining rigs, there's precisely 0 loss once the fees will be burned

Not sure what you mean by "mining fees" but if you are referring to the "gas fees" then you are wrong that pools keep that fee and just distribute the block reward.

I have a prime example that shows that the "gas fee" was distributed by the pool along with the block reward.

I was mining ETH during the recent meltdown of ETH price from $2000 to $1500. During that time many holders were moving ETH and wanted it moved fast so they were paying a very high "gas price". It usually took about 8 days for me to mine 0.2 ETH but during the time of the meltdown I earned 0.1 ETH in a day. Many of the blocks mined by nanopool had a "block reward" of greater than 10 ETH and one had 59 ETH because of the very high fees. Those blocks were rewarded to the miners which resulted in the very fast earnings for me and others on the pool.


Gas and fees
https://ethereum.org/en/developers/docs/gas

Understanding Ethereum Gas, Blocks and the Fee Market
https://medium.com/@eric.conner/understanding-ethereum-gas-blocks-and-the-fee-market-d5e268bf0a0e

 

[digitalwanderer]

You lost me again. Could you dumb down the recent meltdown thing a bit please? I'm not investing or mining but I really want to at least understand it.

Thanks in advance or sorry for the inconvenience, I'm not getting how this works very well at all. Reminds me when I think too long about what money really is. :|

 

[entity279]

Not sure what you mean by "mining fees" but if you are referring to the "gas fees" then you are wrong that pools keep that fee and just distribute the block reward.

I have a prime example that shows that the "gas fee" was distributed by the pool along with the block reward.

Right, gas fees.
Looks to me that the practice is still not universal, though. Saw few links online which stated that this and that pool was distributing the fees to the miners once few ridiculous transactions with ridiculous gas were made.

For sure there are exceptions as you point out. Maybe the majority of them are even, I wouldn't know

You lost me again. Could you dumb down the recent meltdown thing a bit please? I'm not investing or mining but I really want to at least understand it.

Not trying to interject or anything but this might not be the best way to learn... unless you ask specific, learning questions ofc
I would also suggest that you really do invest, rather. Something really really small, of course. Mining a few hours in your spare time or investing $100 or sth.. You'll definitely learn easier once your money is on the line.

 

[dskneo]

You lost me again. Could you dumb down the recent meltdown thing a bit please? I'm not investing or mining but I really want to at least understand it.

Thanks in advance or sorry for the inconvenience, I'm not getting how this works very well at all. Reminds me when I think too long about what money really is. :|

The meltdown term is usually applied to drastic events, like the bankruptcy of the Leham brothers in 2008 https://en.wikipedia.org/wiki/Bankruptcy_of_Lehman_Brothers where the business model was based on market fraud and malpractices. It ended the company and collapsed the housing indrustry. "Meltdown".

I can't agree the same word applies to the market price swings of Ethereum or Bitcoin. But that is all he is referring to. The price volatility of crypto projects.

I have seen Ethereum go from 6$ to 1400$ and back to 70$. I've have seen it again go from 70$ to 2000$ and back to 1300$, which happened last week. To him this recent drop was a "meltdown".

 

[digitalwanderer]

Again dskneo my sincere thanks, that I understand perfectly.

So if I wanna learn more I should probably just mine some ethereum? I have nothing to lose but energy just mining it, correct?

I'm not looking to make a bundle or even profit, just to understand it.

 

[DegustatoR]

AMD is Preparing RDNA-Based Cryptomining GPU SKUs

 

[Deleted member 2197]

NVIDIA GeForce RTX GPU Liquid & Mineral-Oil Cooled Cryptocurrency Mining Rigs Spotted (wccftech.com)
March 13, 2021

The first system that has been pictured includes a total of 10 NVIDIA GeForce RTX 3090 GPUs. The GeForce RTX 3090 is currently the fastest graphics card for mining cryptocurrency, especially ETH (Ethereum). The GPU also requires a lot of cooling to keep it running at a steady phase, especially when you're really pushing those 19.5 GDDR6X memory modules, 12 on each side of the PCB. The rig is massive and is custom-built to house all graphics cards.
...
The second PC is from a cryptocurrency mining setup in Vietnam and the user here is running a total of 8 ASUS GeForce RTX GPUs which are cooled by mineral oil. Mineral-oil cooling has its own advantages over standard liquid cooling and makes sure that all components are cooled at the same rate rather than variable temperatures across GPU, VRAM, and VRMs. The whole PC is submerged within the cooling liquid and we can also expect lower temperatures when the cards are being run under the cryptocurrency mining operations.

Mineral-Oil Cooled Cryptocurrency Mining Rigs Spotted

 

[Man from Atlantis]

Videocardz - NVIDIA GeForce RTX 3060 Ethereum mining restrictions have been broken

 

[Rootax]

So special drivers and dummy monitor plug. Nice f*ck up nVidia

Even if some users are reporting it's not working for them, but a lot are confirming it's working...

 

[BRiT]

I thought they'd all be using dummy monitor plugs. Way back when I ran F@H with multiple cards I had to use dummy plugs to get the cards working at all. At what point did they remove that requirement? Somewhere in the 2010's era?

 

[Deleted member 13524]

https://twitter.com/x/status/1371765349440483330

So all nvidia did was start selling a new line of discrete add-on cards dedicated to miners that will become e-waste much faster than any GPU in existence because they have no 2nd-hand value once they're not profitable for mining (which as far as we know could happen next week or tomorrow morning). And they did so with the excuse that their newer gaming GPUs would be locked for mining, only for nvidia themselves to break that lock shortly after launching their first (supposedly) mining-locked GPU.

And I still can't believe the Anandtech guys of all people bought the "it's locked at firmware-level" lie.

So special drivers and dummy monitor plug. Nice f*ck up nVidia

It's not a fuck-up. It's nvidia serving their highest bidder of new-genereation chips, and their highest bidder won't be gamers until the bubble bursts.

The CMP line isn't made to "separate gaming from mining", it's just an attempt at squashing the same flood of 2nd-hand cards that killed the first quarters of Turing sales with sudden availability of high-end Pascal cards.

 

[BRiT]

And I still can't believe the Anandtech guys of all people bought the "it's locked at firmware-level" lie.

Shades of SLI, right? First it was locked in the motherboard chipset, then it was locked in addon motherboard chipset, then it was just software.

Or is my memory entirely scrambled on that? It's been quite some time.

 

[Rootax]

...




It's not a fuck-up. It's nvidia serving their highest bidder of new-genereation chips, and their highest bidder won't be gamers until the bubble bursts.

The CMP line isn't made to "separate gaming from mining", it's just an attempt at squashing the same flood of 2nd-hand cards that killed the first quarters of Turing sales with sudden availability of high-end Pascal cards.

It's a fuck up when few days later they announced that the card was locked with a bios+drivers solution. And now it's beaten with just a driver.

On a higher level I agree with you. But it can't last very long imo, at one point they will lose some gamers to consoles, and they won't be back in the PC space.

 

[Deleted member 13524]

Shades of SLI, right? First it was locked in the motherboard chipset, then it was locked in addon motherboard chipset, then it was just software.

Or is my memory entirely scrambled on that? It's been quite some time.

Yes.

Or when their GPUs only supported GSync and not VESA Adaptive Sync, but then it turned out their laptop GSync implementations obviously didn't have the expensive and power-consuming proprietary FPGA board and were using Adaptive Sync all along, and nvidia eventually caved and enabled driver support for the industry standard on their GPUs.

 

[Deleted member 13524]

It's a fuck up when few days later they announced that the card was locked with a bios+drivers solution. And now it's beaten with just a driver.

My point is it's most probably not a fuck-up.

"Card with a locked bios+driver solution" is the message they wanted to send to the tech and gaming press.
Beating it with just a driver (oops sorry I'll just erase it from the internet) is the action they had planned to take all along.


If it's more profitable to sell the RTX 3060 to miners, then nvidia doesn't care that gamers aren't getting their cards. Their only concern is to make gamers somehow believe nvidia is concerned about getting cards into their hands because gamers "suffer" from brand loyalty and miners don't.

 

[Davros]

Or is my memory entirely scrambled on that? It's been quite some time.

No your correct, another way to look at it is "our drivers contain a whitelist if your board isnt in the whitelist the drivers disable sli - give us money to be on the whitelist"