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  • Now that China has all but banned cryptocurrencies, GPU prices are dropping like Bitcoin • The Register

Now that China has all but banned cryptocurrencies, GPU prices are dropping like Bitcoin • The Register

By on June 22, 2021 0

Prices for graphics processors in China have plummeted following the nationwide crackdown on cryptocurrency mining, ownership, and trading.

The drop in demand for chips, and therefore the price, is a direct result of Beijing’s ban on digital money, according to the South China Morning Post.

Authoritarian rulers in the Middle Empire dislike Bitcoin and Ethereum, claiming that currencies have no intrinsic value and can be manipulated, making them a bad investment. And now, with mining frowned upon – or banned outright in Sichuan, Inner Mongolia and Xinjiang – there is less demand for computer hardware, driving prices down. We imagine that mining farms also sell their equipment. Oddly enough, Bitcoin and the gang were reduced in value by the edict of China.

The prices of old and new GPU models have gone down. The Nvidia Quadro P1000, a 14nm coin launched in 2017, will cost 2,429 yuan ($ 376) on JD.com, a popular Chinese e-commerce company, for 3,000 yuan ($ 464). The Asus GeForce RTX3060, announced earlier this year, went from 13,499 yuan ($ 2,087) to 4,699 yuan ($ 763), on Tmall, another Chinese online provider.

The trend seems to be making its way to America, as some Reddit users have noticed.

This is great news for gamers and PC builders looking for parts. Nvidia recently announced that it has crippled cryptomining capability on its latest GeForce RTX GPUs in an attempt to hunt miners after gamers complained they had to compete with miners for graphics chips.

Chinese crackdown hits Bitcoin price hard

Meanwhile, the Mandarins of the Middle Empire are showing no signs of slacking off in their battle against cryptocurrencies.

In a statement released on Monday, the People’s Bank of China said it had “interviewed” representatives from the Industrial and Commercial Bank of China, Agricultural Bank of China, Construction Bank, Postal Savings Bank, of the Industrial Bank and Alipay (China) Network Technology, to remind them not to promote such currencies or provide account services.

“The People’s Bank of China pointed out that virtual currency trading activities disrupt normal economic and financial order, increase the risk of illegal cross-border transfer of assets, money laundering and other illegal and criminal activities,” and seriously affect the security of people’s property, “It said.

The Chinese measures have had a deleterious effect on the price of the poster child of the Bitcoin cryptocurrency. Prices rise slightly to over $ 40,000 a coin in mid-June (thanks in part to a tweet from Elon Musk), but have been heading south since and now stand at around $ 31,713. This is down from over $ 63,000 per coin at its all-time high price in April.

The Chinese government is not a fan of anything it cannot control, and in an effort to prevent the growth of the crypto market, it has ordered the closure of several Bitcoin mines in Sichuan Xinjiang. Up to 90 percent of mining capacity has been reduced, according to Global Times, a CCP spokesperson news site.

Closing the mines also means that China is also reducing its overall energy consumption, as it promises to be carbon neutral by 2060. ®

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