Crypto Mining: Samsung is Currently Creating Chips Formed for Cryptocurrency Mining

The semiconductor business of Samsung is thriving. The other day, the firm surpassed Intel as the key chipmaker in the globe. However, the South Korean company is not on comfort zone, and is presently planning to advance to cryptocurrency mining, which is the most active modern market for processors.

TechCrunch stated that Samsung has established that it is creating hardware formed explicitly for mining cryptocurrencies such as Ethereum and Bitcoin. A company spokesman informed TechCrunch, ‘the foundry business of Samsung is presently involved in creating cryptocurrency mining chips. But, we cannot divulge more information about our clients.’ These chips are called ASICs (application-specific integrated circuits). ASICs present processors that have been designed mainly for one computational job, rather than the multi-purpose processors that we utilize in phones and computers.  The demand for these kinds of chips has gone up with the cryptocurrencies valuation increase.

Where Bitcoin is concerned solving mathematical problems forms the currency; the computations also maintain the Bitcoin transactions reliability. With the mining of more bitcoins, these mathematical problems become more complicated. It has caused miners to advance from utilizing regular integrated graphics cards to GPUs meant for gaming and specially formed ASICs now. It is not precisely evident what kind of products Samsung will produce; but, a statement from Korean media indicates that it shall be working jointly with TSMC, a company in Taiwan. The firm presently distributes chips for some corporations formed just for mining cryptocurrencies, such as Bitmain, which is based in China.

TSMC says that catering to these chips demand has increased its quarterly profit by around $350 million – $400 million. It is not a factor that should be disregarded; however, in comparison to the profit of $69 billion produced each year by the chip business of Samsung, this amount is meager. It is buzzy to mine cryptocurrencies; however, it does not signify that it is going to be very lucrative for the ones who trade the silicon shovels.