Be Careful Where You Buy Your Mining Hardware From

We are getting reports for a new trend that is peaking up recently with all of the shortages with hardware due to the boom in mining. It seems that some retailers will happily sell you their stock of GPUs and will then tell you that they will not give you any warranty or accept RMA in case of a problem if you are going to be using the video cards for mining. At the same time they are happily willing to sell you not only the GPUs, but all other hardware that you may need to build a mining rig. The problem here is that instead of clearly pointing that they will not hold any warranty for products used for mining, they take your money, ship you the goods and then inform you that there will be no warranty if the hardware is used for mining. This is just not the correct way of doing business… though it is hard to confirm what a GPU was actually used for anyway, it sounds more like a threat to the customer than something that can be truly enforced.

The main concerns with hardware used for mining are regarding the GPUs working under heavy load 24/7. This makes them prone to more issues as they hold higher operating temperatures, fans are more susceptible to failure (especially if not good quality ones) and as a result the cards can fail. Base on our experience however if properly cooled and maintained the fact that a good GPU is used for mining instead of occasional gaming is not really a problem. Most of the GPU failures usually happen in the first few days and are often caused by some small defect that is prone to result in an issue sooner or later anyway. All in all it is important that miners take a proper care of their mining hardware in order to ensure its long and reliable operation and if they do it good enough, then the trouble they will have are going to much less than if they don’t…

The problem is that there are a lot of people that are getting into mining that do not care about anything, they just throw a bunch of video cards somewhere and start mining and when there is a problem they just RMA them. They do not care about proper cooling, optimizing settings for efficiency or performance or anything else, they just want to mine and make profit from as easy and as fast as they can. We know for a fact that one of the most common RMA reasons are failed fans of video cards that are under warranty, again here some vendors are to blame as they are putting cheaper and lower quality fans. If you have good dual ball-bearing fans that are well protected from dust and do not have an issue with increased temperature you are much less likely to get into trouble. We are however still seeing cheap fans with bushings instead of ball bearings and not very tolerant to higher operating temperatures being widely used on not so cheap GPUs.

This brings us to the 3 month warranty that Nivida is planning to offer for their GeForce GTX 1060 9Gbps based mining GPU. It seems that they are also worried that a longer warranty might not be cost effective for products dedicated for mining, but then again it also shows that they may not be that ready for properly making mining GPUs… just more cost effective solutions. On the other hand if you look at the warranty that ASIC miners do come with limited warranty. For example the Bitmain Antminer S9 ASIC miner does come with a 180-day warranty starting from the date the unit is shipped to you. Baikalminer has just a 30-day warranty for miners. In general the warranty you get for dedicated mining hardware may vary from none to up to about 6 months period. However this is clearly stated before you buy the product, and not you getting a nice and not so pleasant surprise after you pay for it and get it shipped to you for example.

Seems Like Nvidia is Making a Video Card Especially for Mining

There is some information circulating around in the last couple of days that Nvidia is making a video card specifically designed for mining as well as some speculations that AMD is doing the same as well. While are know for a fact that this is true for Nvidia, we are having some doubts about AMD doing it with all the AMD GPU shortages we are seeing lately and the news they can continue for the next few months. With the lack of AMD GPUs on the market the miners started buying Nvidia GPUs, so very soon we are most likely going to see cards such as the GTX 1060 and GTX 1070 getting harder to find on the market. Higher-end GPUs are probably going to have better availability for now, but who knows if miners will move on to these as well if there are not other options available.

We know that Nvidia is focused on gamers and not as much interested in mining and miners like AMD for example, so they do not want to have availability issues of their GPUs just like it has happened with AMD now just because of the miners. So they have apparently figured a solution to the problem – just make a GPU intended for mining and miners and sell that to miners instead of their gaming-centered products. The card that they are building is an NVIDIA Pascal GP106-100 GPU that comes with no video output connectors, passive cooler (still needs airflow for proper cooling) and much shorter warranty – just 3 months. The idea is to have a more affordable price wise option for miners that can be used only for mining (hence no video outputs) and that could make it even more interesting alternative. The crypto mining GPU from Nvidia is apparently based around the consumer GeForce GTX 1060 9Gbps model and the price should be cheaper than that of the consumer model.

The information that we are seeing about the GP106-100 mining GPUs mentions some numbers regarding mining performance, the following numbers are for 8x of these GPUs: 200 MHS for ETH, 2500 Sol/s for ZEC, 4400 H/s for XMR. These numbers translate to about 25 MHs for Ethereum, 312.5 Sol/s for ZCash and 550 H/s for Monero and only the ETH number seems surprisingly high considering what we’ve seen in our recent test of the GTX 1060 9Gbps. So while the GPU might be essentially the same as on the consumer GTX 1060, there could be some differences in the video memory… maybe 256-bit memory bus or optimized memory timings intended for better performance. With a sub $200 USD prices these mining oriented GPUs could be interesting, but the 90-day warranty period could be a bit of a setback.

We’ve left the not so great news for last. The Nvidia GP106-100 mining GPUs will not be available on the regular market to the regular users apparently, they are going to be sold only in large volume to big customers such as cloud mining companies like Genesis Mining and/or other big private mining operations. So the whole thing should not make any difference to smaller home miners as they are most likely not going to be able to get their hands on the hardware anyway. That is of course prone to changing at some point if the crypto mining business continues to grow and forms a larger part of the revenue for companies like Nvidia, so that they could actually form a separate business unit to handle it. For now however the company does not seem to think that they should change their focus from gamers and gaming and mining is more like creating issues for them than helping… something that cannot be said is the same from AMD’s point of view where the market for their Polaris-based GPUs goes mostly in the hands of miners.

Enthusiasts Designing Specific Hardware for Crypto Mining Needs

The peak of interest in crypto mining in the last months has apparently sparkled the need for some interesting new products designed to help the users of mining rigs get things done in a better and more efficient way. As a result we are seeing enthusiast designed things like a power distributor board allowing the users to connect up to 4 power supplies that can be used to work together powering a single mining rig. Of course you can always go for a 2x PSU boards such as the Add2PSU, but what if you need to connect three or four power supplies? With Add2PSU you can use a number of devices to connect more power supplies together, but this will take up more molex connectors on the main power supply. Going for an optimized board that can use up to 4x power supplies together with a single molex from the main PSU is more convenient, especially if going for a 8x GPU mining rig with more powerful video cards that take up two PCI-Express power connectors.

Another commonly needed thing for multi GPU mining rigs is an easy way to connect multiple cooling fans to go along with the video cards by helping them get cooler air and eliminate the forming of hot air pockets around the GPUs. So getting an easy way to connect multiple fans, up to 6 for example via a single board powered by a 4-pin Molex power connector makes things much more simple and user friendly. Adding an easy way to select the operating voltages of the fans via jumpers and getting them to work at either 5V, 7V or 12V without the need of additional electronics is more than welcome. Of course you need not only to get good and useful functionality from a fan distributor board, but also make it affordable as with crypto mining extra costs are always considered.

While enthusiast designed products like up to 4x power distributor boards for multiple power supplies for a single computer or fan distributor boards with 6x fans and voltage control option may be interesting for regular users, however the real market for devices like these has opened with the boom of GPU mining rigs. The two boards that we are showing you here are just an example, there are other interesting products getting designed by enthusiasts for the crypto mining market as well. An interesting example of other such products is the SimpleMining SimpleRigResetter that allows for easy power cycling of multiple GPU mining rigs if they have an issue and hang up.

Total Crypto Coins Market Capitalization Now Over $100 Billion USD

According to the data from the website CoinMarketCap that tracks all of the more serious crypto currencies the total market capitalization has just passed the $100 Billion USD mark. Furthermore in less than three months it has risen multiple times from just about $25 Billion to today’s peak of a little over $101 Billion USD with Bitcoin surging shortly to a little over $2900 USD, before getting back down to the $2700 USD range. Many are wondering already when the bubble will burst or if it will at all, as other people are considering Bitcoin and some of the altcoins still being greatly undervalued. For now the craze continues, even with the shortages of GPUs and other mining hardware on the market.

It is interesting to note that Bitcoin (BTC) is responsible for just about the half of the total market cap of crypto currencies, if we take BTC from the equation and look only at all altcoins the number falls down to abut $53 Billion. In the last three months Bitcoin has significantly reduced its dominance in the market cap from over 80% to less than 50% currently. The most significant altcoins gaining in the total market cap at the expense of BTC are Ethereum and Ripple. Although we’ve seen some positive movement with Litecoin, Dash, Monero and some others as well, they are still much smaller compared to the market cap of the top three crypto coins in terms of market cap.

AMD GPU Shortages May Continue Longer Than Expected

We are hearing information from different sources that AMD may have more serious issues with supplying enough of its Radeon RX 500 series of GPUs on the market for the next couple of months. It is not all about the increased demand from crypto miners as it seems that that the company may be experiencing some other issues that are causing it to not be able to produce enough GPUs to cover the demand. Looking at Ethereum’s hashrate and difficulty data however does not yet show a significant slowdown in growth, but the reason for that could easily be the move of existing mining power from other crypto coins to ETH.

With AMD GPUs hard to get for a while now miners are looking for alternatives that are good for Ethereum mining and while Nvidia GPUs are generally more expensive, there are some that are interesting for ETH mining. We are talking about the GTX 1070 that can do 25 MHS stock and 30 MHS or even a bit more after some memory overclocking and it can do it with a reduced TDP. As a result some miners have started looking at GTX 1070 as a solution to use for new mining rigs, again it might be more expensive, but with the high profitability mining now with a more expensive GPU than waiting to possibly secure some cheaper AMD cards in some days or even weeks…

Other more powerful GPUs from Nvidia are not so great for mining Ethereum due to the use of GDDR5X video memory instead of GDDR5 that is found on the GTX 1070. The GDDR5X memory is faster in terms of clock speed and offers more bandwidth, but apparently uses less aggressive timings and as a result is not much faster than the “slower” GDDR5 memory. As a result if you are looking at GTX 1080 or GTX 1080 Ti for Ethereum mining their price/performance ratio is really not attractive at all as far as Ethereum mining goes. Nvidia on the other hand is faster on ZEC and many other algorithms, but then again people are currently crazy about ETH. So do your math and think about it and don’t overthrow the GTX 1070 as a good option for Ethereum mining.

Using a PCI-Express x1 to 3x PCIe x1 Slots Splitter

Miners willing to increase the number of available PCI-Express slots on their motherboards and thus get a better density with more GPUs on their mining rigs are always looking for different options. One of these options is the use of the cheap Chinese PCI-Express x1 to 3x PCIe x1 slots splitter boards that can be found relatively cheap if purchased directly from China. These boards take up one PCI-E slot on your motherboard and provide you with three x1 slots to use, so essentially they are adding up two extra slots for you to try and populate with video cards.

Now, you should be aware of the limitations of these boards. First off they do not seem to work with Nvidia GPUs, only with AMD video cards, so have that in mind depending on the mining rigs you are building. The fact that these boards add two more PCI-E slots physically does not mean that you will be able to fill them with video cards and they will all work. You may need to try multiple slots on your motherboard when plugging the splitter board as not all slots may work properly with it. We’ve seen some motherboards work with no additional cards using such a splitter board, on some only one extra card is working and on others both extra cards will function.

It is best to try what works on a particular motherboard first and then decide if you are Ok with the results you are getting. Going for a motherboard with 6 PCI-E slots to be able to install 8 video cards with the help of such PCIe splitter is a nice thing, but then again not all motherboards will work with 8 GPUs this way. Some people are suing such boards to upgrade motherboards with just 4x PCI-E slots to six in order to go for a “standard” 6x GPU mining rig. Again, there is no guarantee that the motherboard will work properly with these splitter boards and add extra two PCI-E slots, even if you are able to get the extra slots the motherboard might still have trouble working properly with more than 4 GPUs. In general we are not big fans of solutions like these as they may have varying results, but sometimes a thing like these boards can help you overcome some limitations nevertheless.

Quick Look at the ASUS GeForce GTX 1060 OC 6GB 9Gbps

Back in March when Nvidia introduced the GeForce GTX 1080 Ti it has also announced two upgrades – the GeForce GTX 1060 with 9 Gbps and GeForce GTX 1080 with 11 Gbps memory. These two new models with faster video memory did not get a lot of attention and they have just recently started becoming available on the market. The GTX 1060 with 9 instead of 8 GHz GDDR5 video memory is what caught our attention and more specifically the ASUS GeForce GTX 1060 OC 6GB 9Gbps and we took one for a quick spin to see its crypto mining performance.

The faster GDDR5 memory from Samsung found in this model is what makes the GPU pretty interesting for the currently quite popular and profitable Equihash and Ethash crypto algorithms. We wanted to see the mining performance with ETH and ZEC, even though the memory bus on the GTX 1060 is just 192-bit and that is a bit of a limiting factor. The big question here is how this GTX 1060 model compares to GTX 1070 that uses slower GDDR5 memory clocked at 8GHz (like the regular GTX 1060), but with 256-bit bus and comes with significantly higher number of CUDA cores.

Going for the Ethereum (ETH) mining performance with the latest Claymore ETH miner we are not that happy with the performance we see – just about 17 MHS at stock settings. We kind of expected the lower result due to the 192-bit memory bus, but had hoped that the hgiher clocked GDDR5 memory could help for a bit better results. The GTX 1070 does about 25 MHS at stock settings, but can be pushed to about 30 MHs with some memory clock. Overclocking the GTX 1060 9Gbps helps a bit, but still that can push the performance to just about 19 MHs, so not that much better.

The situation with ZCash (ZEC) is a bit better with about 300 Sol/s at stock settings using the EWBF ZEC miner for the GTX 1060 9Gbps while the GTX 1070 does of course much more at over 400 and can go up to about 450-460 with some extra tweaking. It seems that the faster 9Gbps memory on the GTX 1060 does not do it that much good for mining, tough it might be more usable for gaming. With prices for the GTX 1060 9Gbps not that much lower than the price of GTX 1070 there is actually not that much reason to go for it the faster memory instead of the faster GPU in general.

Now, if Nvidia does tweak up the GTX 1070 with the faster 9 Gbps GDDR5 video memory things might get more interesting, especially for Ethereum mining using these, because of the the problems that AMD is having with Radeon RX series availability. At the moment Ethereum mining on a decently clocked in terms of video memory GTX 1070 can bring it to about 30 MHS with 600+ MHz on the RAM and with reduced TDP. So power/performance wise the next best thing as an alternative to an AMD Radeon RX 570/RX 580 with a good video memory that can get to about 28-29 MHS after modding is in fact a GTX 1070. There are already rumors that AMD may have a couple of months with stock shortages for the RX series of GPUs, so we might soon start seeing the demand for the more interesting for mining Nvidia GPUs increasing.