The recent crypto crash has caused a lot in the crypto industry and has made crypto miners to put their hardware for sale.
The collapse of Terra’s LUNA & UST has led to meltdown in the crypto space. Prices of Bitcoin and other altcoins are closer to their all-time lows and has questioned the future of these digital assets.
While some small-cap altcoins are already fizzling out of the crypto space, some crypto exchanges have retrenched their staff. Crypto miners who make use of expensive hardware are also not excluded from this harsh times.
According to reports, miners are dumping their high-end equipment in the resale market that has resulted in a crash in prices. The slump in price of graphics cards has been driven by dumping of these high-end pieces of hardware in the resale market by the crypto community.
Cryptocurrency mining requires users to solve a complex set of problems on the computers post which they unlock or mint new cryptocurrencies. These complex algorithms require high computing power to solve. Miners also use graphics cards designed for intensive gaming for this job. As prices crashed, mining of cryptocurrencies has become unviable since the process itself is very expensive.
Today, bitcoin, the most popular cryptocurrency, has shrunk to a third since November 2021 from $61,000 to $20,789 now. Ethereum, another popular cryptocurrency, has fallen nearly 70% since April to $1,203.
All these recent happenings have made many to ask if bitcoin and other cryptocurrencies would survive the harsh times.