Nvidia leaves the mining cryptocurrency, citing low profits

In a new version of the press, Nvidia – the world's largest graphics card and chip maker – has confirmed that it is officially out of the cryptocurrency products.

Colette Kress, Chief Financial Officer, in a statement, confirmed "We believe we have reached a normal period as we are not looking forward to substantially cryptocurrency as we go. cryptocurrency-specific products down about $ 100 million, while actual revenues for specific crypto products were $ 18 million and we now expect a negligible contribution. "

Nvidia CEO Jensen Huang echoed Kress & # 39; feelings, expressing that "At the beginning of the year we thought and planned that the encryption would be a bigger contribution for the rest of the year … But, at this moment, we believe that it is irrelevant for the second half. "

Nvidia was forced to institute special measures to counter the strong demand for GPU cards for mining purposes during the December 2017 rally, coming to the point of requiring dealers to reserve a pool of supplies for players looking for graphics cards for their personal computer. The request, at the time, saw the majority of Nvidia brand graphics cards develop as thousands of consumers tried to extract cryptocurrencies at home.

While cryptocurrency extraction has proven to be a fruitful industry with companies of the caliber of established companies – such as TSMC and Samsung among them – rallies for the production of ASIC mining platforms, the new pivot of Nvidia presents itself in a broader decline for the GPU extraction.

Other mining crypto-mining activities, such as Hashflare, also blocked their operations in the 2018 bear market – citing that the year so far has produced "a difficult time for the cryptocurrency market".

The news comes in stark contrast to the events of other cryptocurrency mining companies. Bitmain, the largest producer of ASIC, recently recorded a profit of $ 1.1 billion USD in the first quarter of 2018.

Nvidia's share price has stabilized in the wake of news, and currently trades for $ USD 253.32

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CoinInsider editor. Journalist of technology, podcasters, photographer and director. Hodling – BTC, NEO, ETH. @bryansmithsa

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