Bitcoin boom increases the graphics card prices

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Boom of interest in crypto-currencies has been blamed for pushing up the prices of graphic cards.

The cards are popular because they accelerate the process of minting or “mining” crypto-currencies.

Fan of miners are buying graphics cards in large quantities and is running in parallel to increase their coin-production efforts.

Their actions have led some manufacturers and sellers of graphics cards to limit the number of people that can buy at any time.

The write up on PC Gamer, Shaken Walton said: “now is the worst time in the history of graphic cards to buy and / or update this important component of the game.”
Players only

Many sites on the web, covering PC and computer component industry are reporting that top-end video cards are selling a lot more than the price seen on the website of the manufacturer.

For example, the Nvidia GTX 1080 Ti is sold at a price of £679 of the company store, but the same card costs over £900 on almost all of the electronic retailer website – even if on one, the price is closer to £ 2,000. Is offered at similar prices by small shops and auction sites.

The surge in demand has also meant that many stores have run out of better cards.

In response to strong demand, Nvidia has asked the companies that sell their hardware to try to vet buyers of the cards end up in the hands of the players, rather than crypto-currency enthusiasts, the German tech news Codebase.de reported.

“For Nvidia, the players come first,” said a statement released to the news site.

As well as the issuance of these statements, Nvidia has put a limit on the number of video cards that people can buy from the store.

DAMIEN MEYER

Dealers of Scan, Overclockers and Ebuyer have followed the example, and for many of Nvidia and ati, only let people buy one at a time.

Jack Kitchener, product manager for graphics cards Ebuyer said that the mining boom was at the helm of “great demand” for the cards.

“Unfortunately, for players wishing to purchase tickets to build or upgrade their PC game that has had a great effect on the market for both the availability and the price,” he said.

He said the firm will continue to limit the sales of in-demand cards “to try to fight the ‘miners’ buying in bulk and try to maintain the warehouse for our true customer base – the players.”

“The Crypto-currency boom has had a dramatic effect on the cost and supply of certain games on PC graphics cards,” said Ben Hardwidge, editor of the magazine Custom PC, which gives advice on building a computer from scratch and update the hardware.

“The retailers that I have spoken about this problem to describe it as unprecedented,” Mr Hardwidge said to the BBC. “It’s usually not the people that purchase the cards, but organised companies to purchase bulk loads of cards to set a graphics processing farm”.

He said that the effect had been seen on several cards, and the increase in prices across the board means relatively low-powered components now commanded premium prices.

Really powerful cards tend to use a lot of energy, he said, which could mean less space for the profits the miners, and I hope I do like the mint and trade coins.

“Often it is the mid-range graphics cards that offer the best bang for buck for currency mining,” he said. “That is where we have seen the effects of the crypto-currency boom hit the hardest.”