Intel starts shipping its Bitcoin mining rig as cryptocurrencies crash

[mongeese]

In a nutshell: Intel's accelerated computing group has started shipping its second-gen Blockscale ASIC for SHA-256 cryptocurrencies like Bitcoin. The launch is months ahead of schedule, but still too late to capitalize on the most recent cryptocurrency craze.

Intel announced that it was developing Blockscale ASICs in January when Bitcoin was worth twice as much as it is now and hardware was desperately in demand. Its second-gen is arriving after the market has satiated its need, which is usually when Intel starts shipping its hardware (I'm looking at you, Arc GPUs).

Despite that, the Blockscale ASIC (application-specific integrated circuit) is a great chip. It measures 7 mm by 7.5 mm and consumes just 4.8-22.7W but hashes Bitcoin at up to 580 GH/s (gigahash per second). It's only capable of SHA-256 proof-of-work calculations, though.

Raja Koduri, executive VP and general manager of the Accelerated Computing Systems and Graphics (AXG) Group for Intel, tweeted the news at the end of last week...

Intel AXG Custom Compute team is now shipping the Blockscale ASIC! First product will always be unforgettable, congratulations team'
Excited to see how @ArgoBlockchain @griid and @HiveBlockchain improvise around Blockscale and our open design. pic.twitter.com/0rxtNTLMfw

— Raja Koduri (Bali Makaradhwaja) (@RajaXg) June 29, 2022

Koduri seems to have forgotten about the first-gen Blockscale ASIC that was announced in February. Intel did say at the time that a second-gen model was in-development and then it announced it just two months later, so perhaps the first version doesn't qualify as a fully-fledged product in Koduri's eyes.

In any case, the second-gen model is much better than the first. It consumes just 26 J/TH (Jules per terahash) while its predecessor consumed 90 J/TH. It's also more competitive with offerings from other companies. Intel's system with 256 ASICs can hash at a rate of 148 TH/s with the consumption of 3,850 W, about on par with Bitmain's S19 Pro at 110 TH/s and 3,250 W. Both systems cost between $5,000 and $6,000.

Koduri tagged GRIID Infrastructure, Hive Blockchain Technologies, and Argo Blockchain in his tweet, three companies that mine cryptocurrencies using renewable power sources. Intel markets the Blockscale ASIC as an environmentally-friendly product and it's good to see it standing by those principles by partnering with like-minded companies.

Permalink to story.

https://www.techspot.com/news/95165-intel-starts-shipping-bitcoin-mining-rig-cryptocurrencies-crash.html

 

[emmzo]

I don`t think that even the latest models of ASICs are profitable under 10-11k Bitcoin price, but we`re not there yet.

 

[YouShallNotPass]

First product will always be unforgettable, congratulations team

How could we forget when you released your ambitious dedicated display card during display card price crash and now released your Blockscale ASIC during crypto price crash. These will sure be remembered for years.

 

[Achaios]

As much as I hate Intel, their decision to enter the GPU market is a huge win for the consumer tho ofc I have no illusions abt how much Intel care for consumers.

I predict dirt cheap GPU pricing as soon as ETH mining finally comes to an end.

 

[DSirius]

Is it better in mining than is Intel Arc in games?

 

[NicktheWVAHick]

Timing is everything.

 

[Hooda Thunkett]

Koduri tagged GRIID Infrastructure, Hive Blockchain Technologies, and Argo Blockchain in his tweet, three companies that mine cryptocurrencies using renewable power sources. Intel markets the Blockscale ASIC as an environmentally-friendly product and it's good to see it standing by those principles by partnering with like-minded companies.

I don't consider this environmentally-friendly, since the power they are using could go to other uses, and their demand is helping to keep polluting sources profitable. Perhaps it isn't as environmentally-hostile as restarting a coal-fired plant to run calculations to obtain...bragging rights? Isn't that really what Blockchain coins really are?

 

[psycros]

I don't consider this environmentally-friendly, since the power they are using could go to other uses, and their demand is helping to keep polluting sources profitable. Perhaps it isn't as environmentally-hostile as restarting a coal-fired plant to run calculations to obtain...bragging rights? Isn't that really what Blockchain coins really are?

No, their a way to dodge taxes and launder money. Also a good way to make money from thin air if you get in early and bail during the peaks.

 

[scavengerspc]

No, their a way to dodge taxes and launder money. Also a good way to make money from thin air if you get in early and bail during the peaks.

Psycros gets it. That's what I did. And I didn't mine a single one.

 

[Uncle Al]

Well, as every good & successful investor knows, the best time to buy is when there's blood in the streets .... of course that's also the most terrifying time too ..... it's all a matter of how much courage you have as well as cash to spare ...

 

[VitalyT]

I wanted to state the obvious "shove it" to Intel, but felt it wouldn't quite cut it.

So I would like Intel CEO, Patrick P. Gelsinger, to take all those Blockscale ASICs, and do like the following, but in reverse...

And yeah, it's been overdue.

 

[kiwigraeme]

The thing is - until BC dies it's rightful death for current purpose ( there are good uses ) - If Intel or whoever can make options cheaper than GPUs then the big guys will gravitate to them - you will still have gamers doing it - if they can leech free power of someone - parents , work, building block , stealing - or just solar grid during day while a work - But they will be only a small amount - and only a concern if non-gamer
Miners gonna mine

 

[Mr Majestyk]

Ah good old Intel, always late shipping products. But in this who cares. BC now only exists for a few reasons, none of them good. Die a painful death and I hope those caught up in the craze lose everything.

 

[Watzupken]

While the product is “late”, because crypto is currently in a bad shape, but at least the product sounds promising. Unlike Intel’s ARC GPU where it’s not just late, the desktop GPU is constantly getting delayed, and the driver issues don’t make the product that enticing. So in my opinion, unless there is something that Intel’s GPU that allows them to stand out from more capable alternatives, otherwise, the product is dead on arrival.

 

[Irata]

Ah good old Intel, always late shipping products. But in this who cares. BC now only exists for a few reasons, none of them good. Die a painful death and I hope those caught up in the craze lose everything.

As usual, the wrong people made a killing while the average Joes and Janes they tricked into it (either directly or via investment fonds their money is in) are the ones losing money.

Ponzi schemes always work like this.

 

[scavengerspc]

As usual, the wrong people made a killing while the average Joes and Janes they tricked into it (either directly or via investment fonds their money is in) are the ones losing money.

You also just described the stock market so, keep that in mind. And like the stock market, nobody was "tricked" into it.

Ponzi schemes always work like this.

It couldn't be further from a Ponzi scheme. So it isn't one.
In a Ponzi scheme, people are tricked and lied to.

Just as in the stock market, you lays down the cash and you takes your chances.

And in fact, the stock market also suffers from manipulation. Just in case you were heading there.

 

[Puiu]

"Intel markets the Blockscale ASIC as an environmentally-friendly product"

Just how much BS do you have to eat to spit this kind of PR crap?

 

[takaozo]

We shouldn't laugh at people missfortune......but hey it's Intel.....mwahahahhaha.
Looks like Raja K it's a bad luch charm, good thing he left AMD.

 

[scavengerspc]

We shouldn't laugh at people missfortune......but hey it's Intel.....mwahahahhaha.
Looks like Raja K it's a bad luch charm, good thing he left AMD.

And it's no coincidence that he left immediately before AMD's rise.

 

[Irata]

You also just described the stock market so, keep that in mind. And like the stock market, nobody was "tricked" into it.


It couldn't be further from a Ponzi scheme. So it isn't one.
In a Ponzi scheme, people are tricked and lied to.

Definition of a Ponzi scheme:

a form of fraud in which belief in the success of a non-existent enterprise is fostered by the payment of quick returns to the first investors from money invested by later investors.

Sounds very much like Bitcoin and many of the other coins. And yes, if you look at the stock market this is also often the case (the dot com boom being an excellent example).

 

[yRaz]

Definition of a Ponzi scheme:

a form of fraud in which belief in the success of a non-existent enterprise is fostered by the payment of quick returns to the first investors from money invested by later investors.

Sounds very much like Bitcoin and many of the other coins. And yes, if you look at the stock market this is also often the case (the dot com boom being an excellent example).

A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors.

You don't invest in bitcoin and get a check in the mail every month. You purchase an asset with the assumption that that asset will rise in value

 

[Irata]

A Ponzi scheme is an investment fraud that pays existing investors with funds collected from new investors.

You don't invest in bitcoin and get a check in the mail every month. You purchase an asset with the assumption that that asset will rise in value

No, but the way you make money is pump and dump, same as for stock schemes, real estate…

So you mine or buy into Bitcoin while prices are low and then you just need someone to buy when prices are high - you make zero money holding on to it.

Real estate and some stocks actually do give you returns while you wait for prices to go up but the principle is the same - find a sucker who takes it off your hands at (unrealistically high prices).

 

[yRaz]

No, but the way you make money is pump and dump, same as for stock schemes, real estate…

So you mine or buy into Bitcoin while prices are low and then you just need someone to buy when prices are high - you make zero money holding on to it.

Real estate and some stocks actually do give you returns while you wait for prices to go up but the principle is the same - find a sucker who takes it off your hands at (unrealistically high prices).

The way SOME people make money is pumping and dumping. I'm a bigger fan of some of cryptos other uses, such as buying high quality drugs online.

Still not a Ponzi scheme. You can't buy drugs over the internet with a Ponzi scheme, at least not directly.

 

[terzaerian]

No, but the way you make money is pump and dump, same as for stock schemes, real estate…

So you mine or buy into Bitcoin while prices are low and then you just need someone to buy when prices are high - you make zero money holding on to it.

Real estate and some stocks actually do give you returns while you wait for prices to go up but the principle is the same - find a sucker who takes it off your hands at (unrealistically high prices).

So you less have issues with Bitcoin or crypto and more with market capitalism, okay

 

[Irata]

So you less have issues with Bitcoin or crypto and more with market capitalism, okay

No. I have no issue with proper capitalism but I do with misusing markets / tools (like e.g. options / futures, shares…) for fraud or gambling.

Most market instruments have a proper use, sadly gamblers found more profitable alternate uses but in the end that hurts the markets.