what's going on everyone and welcome to the Rabid Mining youtube channel and i'm sure most of you
by now have heard about this bit pro article now red panda mining did drop this yesterday
i'm not going to go through the whole article i want to kind of talk about what's going on here
i'm going to go through some key parts but if you want to read it for yourself the link
will be in the description below as a fast sum up of this article they pretty much go through
everything and how bad gpu mining is gonna look once aetherium does move to proof of stake i've
been trying to warn people for you know a couple months now just by doing it through checking out
difficulties and how much it could change based on the hash rate on aetherium but you know going by
market cap and across other the other gpu minable coins right here it just looks very very bad and
this is a nice easy way to understand it but there is another side to this well thought out
and written story now i can't argue with any of the numbers here you know it looks legit
everything is gonna get very very bad and you know unprofitable if it's even profitable at all
and when you scroll down here the whole blog is to pretty much make you get all sad now when
pos comes that's what it's going to be like for sure but we don't know when pos is going
to come yet but the bottom line is it hits you with the kicker and the kicker is at the bottom
where they are saying we will buy your gpus everything is linked into internal websites on
their own blog post here so here's why you know every gpu is bad again it goes through how bad
the sales and everything on gpus are going you know it this used to be worth that now it's only
worth this and it's getting lower and lower yada yada yada we know the market's going down there's
less demand but you know again the same thing is telling you how bad everything is in terms of
resale value and at the bottom again it just goes straight into make contact us for an offer we will
buy your gpus so then i kind of got thinking and i was going through their website and throughout
their main website here every single link points to sell us this sell us your stuff sell us all
your computer type of hardware but there's no listings anywhere on to buy anything so who are
they accumulating all this hardware for are they a shell firm for a large mining company you know
maybe they a shell form form for nvidia or they a shell for you know some other manufacturer that
wants to make something else asics added some of these parts i have no idea but there's something
going on in the background that we're not being told here now with all that being said yes pos
is coming a lot of miners most miners are gonna have to shut down remember as residential miners
we're not even a pin needle of the fraction of hash rate that is in terms of gpus when they speak
about miners they're referring to mining farms and places all over the place look at the states they
put that big mining farm ban on they labeled it as miners but they're still allowing residential
miners to pretty much you know go ahead and keep mining it's the farms that's making all these big
impacts now even though gpu mining is greatly going to change once ethereum does move to pos
what is our timeline as we know you know we may have three months we may have a year we
have two years maybe there's a lot of different rumors floating around uh ethereum pr dev team
obviously they're right there they're ready to roll they're cutting all the corners and they
want to push it out as fast as possible that's the pr side and robsten just had a successful
merge test which means we probably will not see a delay in the difficulty bomb but with all this
hype coming into it if we do get some sort of delay in something then the background noise
that we may be hearing behind closed doors may be true and we may still have a year or two of mining
again there's a big difference going on between the pr side and backdoor talks let's take a
look at why we think this if you remember back in january or so luxor did start this ethereum mining
pool or we're looking into it because they weren't expecting pos to probably even happen this year at
all now i did bring you that article a couple days ago about hut 8 having that ferrari of gpus now
they also stayed here in february which was about a month after that luxor post that additionally
the hut 8 team is pretty close to the ethereum developer community she said so that was the vice
president talking here and it says we're hearing on the ground that proof of stake is so pretty far
off because it's obviously not a technological issue it's a governance issue but sure if proof
of stake happens tomorrow morning we can easily pivot so they're kind of doing a little bit of
leaks here are they in fact best friends with the developer they obviously have a lot of money
tied up in ethereum and they're mining farms and converting to bitcoin or whatever but
you know they have been supporting this coin with massive amounts of hash rate so yes i believe they
probably do at least talk to them once in a while and we may be seeing some inside information here
so they're hearing on the ground that is pretty far off because it's not a technological issue but
at the same time they're contradicting themselves saying if it is ready you know we can easily pivot
which is kind of i don't know if it's a double negative or whatever but they're saying one thing
and then kind of making it sound like that's not entirely true because we can simply switch so
it's kind of like trick thinking here but in the end they're kind of hinting that you know maybe
something is happening so the pr team right from the get-go this year tim baiko has been saying how
ready they are how close they are but yet we're hearing in the background where you know potential
ties where there's a lot of money involved different types of stories so we don't know that's
why i'm saying robstein everything went ahead 100 so if the pr team says like they are right now on
twitter everything went good everything looked great you know it was pretty much flawless there
was a odd hiccup here and there but nothing that would severely maintain anything bad on
the network so if we do see a potential bomb delay that just means that there's something going on in
the background that may be extending ethereum for another year or two and it may be tied to
mining farms and a lot of background money so as of recording this video obviously the ethereum dev
call when you're watching this has already gone through it happened this morning and i'm recording
this the night before so some things i may have already said or you know timelines and stuff
may have been mentioned already in that dev call but i don't know because it hasn't happened yet
at the time of recording this video but anyway now let's kind of get into some of the article here if
some of you guys were unaware about this article just how bad mining after ethereum could get
so without further ado let's do the math so right now in mid 2022 things are a little tight but
most gpu miners are in the green regardless of what they mine that's kind of funny because on
their other web page where they go through the profitability and the value of cards dropping
they say everybody has been losing since january of 2022. so now they're saying it's green in this
article so i just kind of find that kind of funny again like i said they're just adding up to a doom
and gloom to try and purchase your gpus plus they have a capital a at the end of a period doesn't
matter uh and there are lots of good choices as 6 by rtx 3070 rig will pull about eight dollars
and sixty cents per day on f and six dollars and twenty five cents per day on ethereum classic if
all anyone was facing was a twenty eight percent cut in profitability and profits post-merge
it would be rough but it would be survivable but that's not what's going to happen for anyone to
understand why you must look at the big picture all mining income is based on a simple formula
price per coin times the block reward times daily blocks equals total daily income the block reward
is the number of coins rewarded for finding a block the block time is the amount of time
between each block and from this we can determine the number of blocks produced per day take f as
an example 1975 per ethereum times 2.01 block rewards times 5760 daily blocks found equals 22
865 760 dollars that's the total amount of income all f miners share every single day now let's do
the same for etc it's the second biggest coin and if it puts out a comparable total income as
ethereum there will still be plenty to go around post merge cue the drum roll 24.14 times 3.1 of
that block reward times 6 000 blocks per day is a measly 449 thousand four dollars that's not
even close we're not even in the same galaxy as ethereum we're two whole orders of magnitude off
here but there is a lot of other coins so so if the total income between them adds up to a nice
healthy number things will be fine let's survey the landscape of gpu mindable altcoins so there's
the chart you can kind of pause it or whatever and have a look at those numbers for a quick minute
but let's keep on continuing down here things are not fine every other altcoin combined doesn't even
add up to the income of ethereum classic which was itself a tiny sliver of the income of ethereum yes
i did the math correctly this is all public available data check it for yourself and this
does confirm and when i reverse engineer it and through some live streams and look at difficulty
you know gpus will be in the red unless you're under like five to six cents per kilowatt hour
you're not going to be making anything with only a five percent increase in hash rate and there could
be easily at least 10 times coming in across the top 10 coins at the exact same time so things are
looking very bad for gpus and this is going to be worse than any previous crypto winter before and
this is only going to affect gpus because ethereum was pretty much the bread and butter for gpu mine
anyway even if i was 50 off it's still game over it's like the titanic is sinking and there's
only one rickety old lifeboat to share there is no universe where almost everyone doesn't
drown this is why i hate mining calculators with the burning passion of a thousand suns
if they're your primary way to predict the future things don't seem so bad but mining
calculators are not showing you the relative hash power and income to the various coins
when they show you all these alternatives to f now a lot of people are definitely mixing this up
i do see posts in reddit and other places they're saying oh well this coin is almost as profitable
as f and that is yeah these coins are close right now but once ethereum is gone and the hash rate
spreads what the mine is gonna be a sea of red legitly that's what it's gonna look like they
are not gonna look anything like what it looks currently today uh they law you into a false sense
of security without f gpu miners are screwed the total amount of income available to all gpu mining
is going to drop 97 so they're at least giving you three percent profits here current numbers on
all the hash rate you know moving over you're red you're zero percent you're not making enough coins
to pay for your power that's when it makes sense to shut your rigs off and buy the coin straight
up you think it's gonna pump buy the coin shut the rigs off you will get more coins than mining that
coin again if you are there to support the network that's a totally different story people do mine at
losses to support networks that they love history is not a useful guide for what comes next because
nothing like this has ever happened before in the past when gpu miners lost ltc zek or xmr to a6
uh xmr i believe actually this maybe even before it swapped the random x but xmr now
is now swapped around the max which is more efficient for cpu mining at this point if you were
unaware they were just one small part of a very big pie this situation is completely different
this is like the whole pie vanished overnight and miners about to fight for the leftover crumbs
is essential to understand this this is an unprecedented and catastrophic reduction in income
for gpu miners so this is what i kind of say the end of ethereum mining it's not just going to be
a typical crypto winter for gpus this is going to be far worse than any previous crypto winter has
ever hit and it's only going to affect gpus unless everyone goes out and switches how they mine if
they move to kda miners you know cpus or something obviously we'll see increase in difficulty there
but as it sits right now gpu mining's the only way to mine that's going to be affected by this and
other ways will be remain profitable so next they kind of run through a bunch of different scenarios
here and the end result of every single scenario is you know it's bad you're not going to be making
anything once ethereum is gone now i know some of you saying oh it's going to pump in the future you
know stay strong people will leave but yeah people gotta leave a lot of miners have to shut down in
order for the people that you know are pumping it to stay online so you know it's gonna be changing
mining forever it's not gonna be if everyone stays online that means everyone's going to be
mining at a loss are you going to mine out a loss if you stand for the coin yes you probably will
but there's most people out there are probably in it for the profits and they're not going to
be there anymore and now back to kind of where we started off the videos they go through some more
you know downturn so now at this point you know your head is down you're like what do i do you
know i may as well just shut down and then they hit the line on you with their the whole sinkhole
of the article at the bottom is we will buy your gpu so we already went through all this so thank
you for watching this video guys i will see you on the next one Rabid out thank you for watching my
video and if you haven't seen one of these be sure to check them out if you already seen them maybe
you missed some might have to watch it one more time and if you just let it play in the background
that's all right as well i do try to live stream every weekend as well as every couple days during
the week so be sure to be subscribed so you don't miss that as always have a great day