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Nvidia’s Crypto Mining Cards Saw A 60% Drop In Sales

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According to the company’s most recent financial report, revenue from Nvidia’s crypto mining products plummeted from $266 million in Q2 to $105 million in Q3.

Nvidia debuted a specialised line of Crypto Mining Processor (CMP) cards at the start of the year, but sales of CMPs have dropped by 60% in the last quarter.

According to the company’s Q3 earnings release, sales revenue from Nvidia’s crypto mining equipment fell from $266 million in the second quarter of the year to $105 million in the third quarter.

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For much of the year, CMP sales have fallen short of expectations; while they started the year brightly, with Nvidia upping its first-quarter revenue estimate to $150 million, Q2 sales revenues fell far short of its initial rosy prediction of $400 million.

CMP sales revenues totalled $526 million over the product’s lifetime, accounting for only 3% of the company’s total revenues of $19.27 billion during the same period. Nvidia’s CFO  Colette.

Kress anticipates the company’s CMP product to “decline quarter on quarter to extremely low levels in Q4”.

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Nvidia created the CMP in reaction to the use of its graphics cards for cryptocurrency mining, such as Ethereum. With its main audience of PC gamers up in arms about GPU supply problems, Nvidia attempted to make its graphics cards “less enticing” to crypto miners by restricting hash rates.

Other graphics card manufacturers, such as AMD and Intel, have stated that they will not throttle crypto mining on their main line of devices.

In any event, PC players may not have to wait long before the miners move on. With the upcoming Ethereum 2.0 upgrade, Ethereum, one of the most popular cryptocurrencies mined on GPUs, will transition from a proof of work consensus method secured by miners to a proof of stake architecture.