Crypto-Mining Farm With 78 GeForce RTX 3080 GPUs Making $154,000 Per Year
A cryptocurrency miner who is based in Las Vegas has managed to get dozens of PNY brand GeForce RTX 3080 cards to mine Ethereum. How in the world he managed to get so many hard to get cards is beyond me, but even if he spent second-hand prices, it will be a profitable operation before 2020 ends. Nvidia started its Ampere party in the customer sector with the GeForce RTX 3080, which hit the world of retail on September 17 for $699 (MSRP). And by “released to retail,” I mean it was available for all of a nanosecond before it sold out everywhere. Since then, Nvidia has released three more models—GeForce RTX 3090 ($1,499), GeForce RTX 3070 ($499), and GeForce RTX 3060 Ti ($399), in that order—and those sold out quickly.
Throw cryptocurrency mining in the already hard to find GPU and you got a war on your hands. According to TechArp, a guy named Simon Byrne is operating an Ethereum mining operation with 78 GeForce RTX 3080 GPU, all organized neatly on an open rack.
If this is a real operation, Simon Byrne stands to make a substantial profit. TechArp ran some numbers and they go like this. Suppose he paid second-hand seller pricing of $1,199 per card. That works out to $93,522, which we can add up to an even $100,000 to factor in the price of the power supply units and the housing rack.
The normal cost of electricity in Las Vegas for a commercial customer is 8.43 cents per kWh. That works out to $1,444 per month. Now raise that 50% to $2,166 to account for the cost of AC cooling. In a year, he’d be spending $25,992 in electricity and cooling. Add in the cost of the hardware, and his first-year costs are $125,992.
Each card has a hash rate of 83.57 MH/s. That works out to around $165 worth of Ethereum (0.22236870 ETH) each month. Now multiply that by 78 and you arrive at 17.3447586 ETH, which is valued at $12,840 per month or $154,080 per year.
Based on the difficult math, Simon Byrne and his 78 GPUs stand to make $28,088 in the first year and $125,088 annually every year thereafter.
This assumes a constant price for Ethereum. Cryptocurrency values fluctuate quite often, sometimes very dramatically, so this is more of a rough estimation based on the current price of crypto.
Luckily, the shortage of GPUs will not last permanently. During a third-quarter earnings call last month, Nvidia CFO Colette Kress said that “given industry-wide capacity constraints and long cycle times, it may take a few more months for product available to catch up with demand.” So I’m hoping this thing will not extend past the first quarter of 2021.