Is NVIDIA a Pick-and-Shovel Play on Ethereum?
NVIDIA Corporation (NASDAQ: NVDA) is known for semiconductor products that are used in high-speed graphic cards for computers, chips that can power artificial intelligence, and potential applications for its devices in autonomous vehicles. The company’s stock price has risen dramatically, tripling in the past year: Now an analyst has thrown in a new application for the company’s products: “mining” for cryptocurrency on the Ethereum platform, which means solving complicated math problems to earn what users have agreed is currency. Royal Bank of Canada (NYSE: RY) analyst Mitch Steves puts a potential market for Ethereum mining chips at $875 million given the current value of the currency. NVIDIA reported $7 billion in revenue in the fiscal year ended in January, so this wouldn’t be a huge market for the company, but it is interesting. What is Ethereum? Over the past few years, bitcoin has made its way into the collective consciousness as the first popular cryptocurrency, allowing the transfer of payments via the internet without the use of credit cards, checking accounts, or old-fashioned paper money. Image source: Getty Images. Mining with NVIDIA Much like the gold miners of the 1800s stocking up on supplies, picks, and shovels, tech-savvy folks…
Link to Full Article: Is NVIDIA a Pick-and-Shovel Play on Ethereum?
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