A few days ago south korean giant Samsung announced that it has started to manufacture ASIC chips for a chinese mining equipment distribuitor. They are also planning to produce GPUs in the near future.
All of these makes me wonder what will happen with the mining business if Samsung and some other big tech companies start mass producing the hardware required to mine bitcoin and all of the others cryptocurrencies.
So the first thing that I think it would happen would be that the cost of mining hardware should go down. Way down.
This would make mining much more profitable, right? Absolutely not. All mining rigs currently active were already paid for in their old prices, only new rigs would enjoy the advantages of these discounts.
This would take down the only barrier that stops many people from starting in this activity, so we would have a massive influx of new miners and mining hashrate with it. Then the mining difficulty would skyrocket and all that people that are currently mining would see how their income would go down.
At first this could be terrible for old miners, particularly those who have yet not recover their investments. But it would level the playfield allowing to distribute the same amount of freshly mined crypto into a much larger pool of people.
And THIS, could propel mass adoption and the use of cryptocurrencies among a whole new group of people wich could help to raise the market in the next few months.
Do you agree with this? What do you think about Samsung entering in crypto?
Again, thanks for sharing your thoughts
