Report: Mining ETH currently waste of money

Mining Ethereum (ETH) using a graphics processing unit (GPU) is no longer profitable. Last year in July miners could earn $147 profit per month per graphics card, but now that’s zero. This report comes from the US-based trading and tech firm Susquehanna. 

Currently ETH is trading for $175, which is a major decline from its all-time high around the $1350 mark back in January. The previous report from Susquehanna was done in July 2017, when ETH was still trading for $175 as well. 

The main reason why mining is no longer profitable on ETH, is the drastically increased hashrate. Back in July 2017 the hashrate was between 65.000 and 75.000 GH/s. Currently the computer power is at 242.000 GH/s. The chance that miners get a reward, is now three to four times smaller. 

In the past few months the Ethereum network has seen a decline in hashing power. Miners are seeking their fortunes somewhere else. In August the network peaked at 295.000 GH/s. Compared with the all-time high it’s hashrate is down 18%. 

Even though the report from Susquehanna seems to make sense, there are some notes to be placed in the sidelines. According to analytics website WhatToMine, Ethereum is currently one of the more profitable coins on the market. Together with Metaverse (ETP), Ethereum Classic (ETC) and Ubiq (UBQ) it’s among the best recommended coins for GPU-mining. 

Yet, hardware producers are seeing a trend similar to Susquehanna. Both AMD and Nvidia are seeing a strong decline in crypto-related GPU sales. They even expect crypto-related sales to be minimal during the rest of the year.