Topic: [2018-01-30] Samsung Enters `Mass Production` of ASIC Miners - page 3. (Read 836 times)

I'll ignore the other debate that's going on at the moment and just point out one thing.  If Samsung are merely producing the hardware for sale and not actually using it themselves to mine, they're not going to care in the slightest what the difficulty is.  And providing they manage to sell lots of their hardware, they're likely going to make a profit whatever happens to the difficulty.  The only people in this scenario who would potentially face huge losses are the miners whose hardware isn't up to spec anymore, along with anyone who tries to sell ASICs that aren't up to spec anymore.  Obviously this all assumes Samsung do actually make decent mining rigs, but we'll have to wait and see to know that for sure.

Of course higher bitcoin prices = higher profits but u gotta be freaking retarded to assume that bitcoin price will rise 10 times this year juz because it did so last year. Past performance does not indicate future performance, period...

And if by some miracle that happens, it would be much more profitable to juz buy and hold bitcoin rather than put money into mining equipment.

Dude, there is NO CORRELATION between price and difficulty period lol. Price got pumped last year due to hype and good news from media. That seems to have died down for now.

If there is a correlation, dash price needs to be 2-3 times higher than it is now due to the difficulty's phenominal rise. Antminer D3 will then make some significant profit instead of wat it is doing now.
Bitmain isnt dumb either. They diversify to AI chips as well, not juz mining.

U gotta be nuts if u think btc can rise 10 times a year. That would make its mkt cap over 2trillion plus this year and 20 trillion next year...thats juz impossible and it will actually be posing a significant risk to financial system in just few years from now.

I somewhat agree with the poster you criticize here, though for different reasons. I really don't see a lot of potential in the ASIC miners market. Here are my two points regarding this matter. First, we don't know much about future Bitcoin regulations, so, in the worst case scenario, there may be nothing to mine. But probably Samsung knows better, more power to them. Anyway, they are likely testing waters with this endeavor and they won't lose much even if their effort fails miserably. And second, POW mining, and ASIC mining specifically, is a dead end, so entering this market seems to be a risky business on its own. To put it simply, they may be too late to the party. But then again, Samsung is just too big to lose too much even if they will have to quit.

This is another step to monopolization of the market mining. I am opposed to this. My opinion is that it would be better if each user cryptocurrency would provide their capacities for the implementation of the transaction. Now you understand that you need to change the system of confirming transactions. But the mining lobby against it. This affects all of us.

It is about time that someone come in to Bully the current Bully. {Jihan Wu} He has been throwing his weight around for

much too long now. I face a lot of hostility from a lot of gamers lately, who are saying that Crypto currencies are the leading

cause of the inflated prices of GPU cards. {They should blame the shortage of these cards on the manufacturing companies,

because they are simply to adapting to the current demand for these cards.}     Samsung has timed this perfectly,

because there are a huge demand for mining equipment at the current moment. 

So much uninformed idiocy in such a small paragraph.

Higher Bitcoin Prices == Bigger Profits Per Coin

Total Hashrate Sum Of Mining Pool Results in ---> Proportional Share Of Block Rewards (Averaged over time, there are variances) + Transaction Fees Per Block Mined

"Stagnating for a month" after rallying to an ALL-TIME FUCKING HIGH is the the usual pattern for Bitcoin, you loon.

Bitcoin is up 969% from January 31st, 2017.

You also realize that there seems to be a direct correlation to increases in difficulty and price?

Of course not, you're too busy being an idiot.

My post makes alot of sense. I think u just dislike bitmain too much.

Dude, last year, Bitcoin price went up from 800 usd to 20,000 usd to now about 10k+ usd. That is a price increase of 12-20x or so.
Did mining get 12-20x MORE profitable?
No, it didnt.
Why?
Because bitmain and other manufacturers push out so much equipment to push difficulty far far higher....

Now, wat do u think will happen when more manufacturers add to even MORE mining equipment and BIGGER difficulty increase??
Bitcoin price will need to go up 12-20x again...same as last year... to keep mining profitability sort of the same.

I dont see bitcoin rising to 120,000- 200,000 usd this year. It has stagnated for a month as it is.......
We can have a case where mining does not make money but selling miners makes money.

"Samsung edges in on Bitmain",  a good thing as Bitmain become the only market makers for ASICs hardware and they can mark-up the price at their will due to the big demand. I'm wondering whether the ASIC miners will be sold to the public or it just private-sell to "Chinese partnership?
a better ASIC means; it can generate bigger hashrate but sold at a cheaper price or at least it has the same price as Bitmain's ASIC.

Your post doesn't really make sense. Samsung gets involved in this market because of how much potential there is. If we look at how much demand there is for proper mining gear, and that on a very large scale, it's more than lucrative for Samsung to enter this market. If they manage to offer their miners for a lower sale price, they'll probably start messing with Bitmain's market big time. Don't think anyone here will lose sleep over Bitmain losing its iron grip on this element of the industry. More entities being able to buy cheaper mining gear means a much stronger network in the long run, which of course will drive up the difficulty even further, but that's not a problem. Increasing difficulty means increasing demand, and if the price keeps growing as well, then everyone remains happy.

This is insane. There is too much mining difficulty already. This would make mining difficulty rise further...it is plain stupid.
Samsung can make huge losses here.

Anyone have any idea when this will hit the market?

Please Samsung, turn Jihan's Bitmain into a pile of rubbish by taking over it's insanely large market share. Samsung has the power and the capital to achieve this, and this will directly function as an example of how that centralized part of the market will slowly become less depending on just one major entity. This is probably one of the best news articles of this entire year for me, and I'm not exaggerating things. Jihan's cartel is a poisonous entity in this market making a living off of Bitcoin, but at the same time doesn't mind to tarnish Bitcoin's reputation for his own hidden agenda plans, the bastard. I hope that Samsung's potentially successful entrance in this market will stimulate other manufacturers to do the same. I can't wait to see Jihan's empire shrink slowly but surely.

Its only a problem to those pushing ASIC miners with ASICBoost. Jihan Wu is probably going to have a heart attack, and it serves him right - he's been a parasite on the back of Bitcoin for long enough. From purposefully mining empty blocks (contributing nothing back to the network, just grubbing for the block reward), to backing shitforks like BCash, he deserves a comeuppance from the juggernaut of Samsung.

As for it making GPU miners unprofitable, that ship sailed a LONG time ago for Bitcoin, on other coins that are "ASIC resistant", it won't matter too much either.

This can be a significant problem for those who use mining GPU. Network complexity will increase significantly and will make this method ineffective. The production capacity of Samsung is very great. They can significantly increase sales volumes of ASIC. This will cause a significant reduction in the profitability of mining. I think it's bad news.

South Korean electronics giant Samsung has begun manufacturing ASIC hardware geared to cryptocurrency mining in a Chinese partnership.


That’s according to a report in local news outlet The Bell, which on Monday stated the deal with Taiwanese operator TSMC Taiwan was already resulting in “mass production.”

The move would constitute the second major step into the mining sector by a global multinational this month after Eastman Kodak announced a surprising but highly-criticized scheme several weeks ago.

Samsung would also join the turbulent race to cement positions on cryptocurrency in South Korea, news of a major deal between exchange Bithumb and e-commerce platform WeMakePrice coming the same day as the company’s announcement.

According to the Bell, sources confirmed the partnership, with analysts suggesting it was premature to consider profitability increases.

Nonetheless, TSMC’s position as a supplier to market giant Bitmain could see the Samsung move provide a much-needed dose of competition in mining.


In late October, Samsung hinted at its interest in cryptocurrency mining with the unveiling of an altogether more experimental product at its San Francisco developer conference.

A ‘rig’ comprising forty repurposed Galaxy S5 smartphones and other products was described as “innovative” to Vice while at the time remaining something of an understated contribution to the industry.

“This innovative platform provides an environmentally responsible way for old Galaxy mobile devices to breathe new life, providing new possibilities and potential extended value for devices that might otherwise be forgotten in desk drawers or discarded,” a spokesman told the publication at the time.

2018’s other major mining announcement from Kodak meanwhile appeared to fail in its bid to create the desired buzz from the industry.

Its two-year contract attracted as much negative publicity as the hardware itself, commentators noting the mathematics employed by the company would end up losing customers revenue.

Nevertheless, shares in the embattled electronics manufacturer jumped following the announcement at CES Las Vegas, despite one journalist describing it as “the dumbest thing he had seen” at the technology event.

http://bitcoinist.com/samsung-production-asic-miner-bitmain/