Beyond its cost, cryptocurrency mining enthusiasts are interested in the new products that are hitting the market. There is greater competition in the sector, together with companies specialized in alternative mining cryptocurrencies.
The American company Osprey Mining announced the launch of its new card to mine Ethereum and other alternative cryptocurrencies. The device has attracted the attention of the ecosystem for its electrical efficiency, as well as its high price, which is close to $ 1,600 per unit.
Unlike other graphics cards (GPUs) used to mine Ethereum – such as those from AMD and Nvidia – Osprey’s ECU50 is an FPGA device. This technology is reprogrammable and can be used to do specific tasks, such as mining the algorithm of a blockchain.
The ECU50 is compatible with Ethereum’s Ethash algorithm and achieves a hash rate of 41 MH / s with an electrical power of 75 watts. Also, the card has an 8GB RAM and a cooling system with two fans, as well as a copper structure.
As it is reprogrammable, it is compatible with various cryptocurrency algorithms. In the same way, it can be used as a video card in data centers or for video games. That is, it is very flexible in terms of its functions, and miners can adapt the card depending on whether mining is more profitable in one network or another.
High efficiency, but little profit for Ethereum mining
Although these features optimize cryptocurrency mining, miners on social networks have criticized the high price of the device. The ECU50 costs $ 1,599 per unit and has a 3-month warranty. As if that were not enough, Osprey Mining is a relatively new company, which began its operations in Silicon Valley in 2018.
Some professional cryptocurrency miners compared the profitability of this new card with the GPUs that work to mine Ethereum. They agreed that the device has excellent electrical efficiency, offering a power consumption of 75 watts when one of the most prominent GPUs on the market – the AMD Radeon 5700 – reaches just a minimum of 200 watts.
However, although the efficiency may be high, the miners indicated that the device is not more profitable than other graphics cards on the market. While ECU50 costs $ 1,599 is offering a hash rate of 41 MH / s, video cards like Radeon 5700 cost just over $ 400 and reach a hash rate of 55 MH / s.
If we consult what the profits of these two devices could be in a week of mining, it turns out that the ECU50 generates 1.51 dollars a week, while the Radeon 5700 generates up to 4 dollars a week. In other words, it is much easier to recoup the investment of the Radeon and start generating profits per year, than to recover the more than $ 1,000 invested in the ECU50.
Beyond its cost, cryptocurrency mining enthusiasts are interested in the new products that are hitting the market. Greater competition in the sector, together with companies specialized in alternative mining cryptocurrencies, could be a positive trend that generates better performance equipment for networks such as Ethereum, Litecoin, Dash, or Zcash.
The northern part of China has been favorable for the settlement of mining farms that find in the region a fresh climate, cheaper labor, and, so far, less expensive energy compared to other parts of the country. Due to the new electricity tariff, mining companies may consider setting up in other regions where their revenues will not be affected.
Electricity has been cheaper in Inner Mongolia since the Electric Power Distribution Center, the first provincial power market to formally function in China, was founded. This center offers lower prices for electricity service concerning the rates that exist in the rest of the country. Many in the region believe that access to cheaper electricity will allow the development of infrastructure that will boost the economy of Inner Mongolia.
By: Jenson Nuñez.
