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> we figured out that there's a way to run Neural Network inference and crypto-mining simultaneously without hurting mining hash rate I understand that you fig

> we figured out that there's a way to run Neural Network inference and crypto-mining simultaneously without hurting mining hash rate I understand that you figured out the technical side of things but curious about the human nature side of things. Let's say currently you can have both NN and mining running. From a cryptocurrency price point of view two things can happen: a. Prices go up - Wont the incentive change towards mining? How do you guys plan to handle such situations? b. Prices go down - In this case, the intuitive thing to happen is that GPU pricing to get cheaper. But then, will you guys passing on such benefits to your customers? Because the whole point is to be able to make a steady income from the GPUs, mining or not.

davidbuniat 8y ago
Lets agree that if the mining price goes up, it will be always cheaper than public cloud. Otherwise, you would have run mining on AWS/GCP and be profitable. In this scenario, we are still able to offer cheaper price to the customers and higher price to the miners even by just binary switching. Assuming the gap is not negligible. If the price goes down, customers will be able to set lower price. As long as GPU holders profit margin is high enough given electricity and maintenance costs, they will do the compute. If the marketplace matures, pricing of mining, deep learning, rendering and other tasks will be driven by the market. At Snark AI we are working on towards creating this marketplace that will provide optimal benefits to all parties.
- thisisit 8y ago
  > Lets agree that if the mining price goes up, it will be always cheaper than public cloud I am confused. Let's say your price is $x while public cloud is $x+y. When cryptocurrency price rise the incentive is to increase your price to $x+y, if that is the profit point. In which case you will no longer be cheaper than public cloud. Any differences will be negligible. So, I am not sure you can claim to be always cheaper than public cloud.
  - davidbuniat 8y ago
    Following your notation, consider our new price will be $x+y', where y' is the mining price difference. You are right my claim that y'<y is slightly weak (was based on "gap is not negligible" assumption, see below). "gap is not negligible" - means if y' gets near to y, then y will get even higher and there will be always a market gap, which I think you disagree with. Based on your suggestion, on extreme scenario I would soften my claim to y'=<y, without us making profit. :)
supersergiy 8y ago
We aim to have the customers easily switch between snark and mining. Given that the rewards for mining on platforms such as Bitcoin half every 4 years, the mining incentives go down and tips become the popular form of earning. The evolution of this is not well understood but tips might not exceed the average size of transactions, of which we're on the better side.

davidbuniat 8y ago

Lets agree that if the mining price goes up, it will be always cheaper than public cloud. Otherwise, you would have run mining on AWS/GCP and be profitable. In this scenario, we are still able to offer cheaper price to the customers and higher price to the miners even by just binary switching. Assuming the gap is not negligible. If the price goes down, customers will be able to set lower price. As long as GPU holders profit margin is high enough given electricity and maintenance costs, they will do the compute. If the marketplace matures, pricing of mining, deep learning, rendering and other tasks will be driven by the market. At Snark AI we are working on towards creating this marketplace that will provide optimal benefits to all parties.

thisisit 8y ago
> Lets agree that if the mining price goes up, it will be always cheaper than public cloud I am confused. Let's say your price is $x while public cloud is $x+y. When cryptocurrency price rise the incentive is to increase your price to $x+y, if that is the profit point. In which case you will no longer be cheaper than public cloud. Any differences will be negligible. So, I am not sure you can claim to be always cheaper than public cloud.
- davidbuniat 8y ago
  Following your notation, consider our new price will be $x+y', where y' is the mining price difference. You are right my claim that y'<y is slightly weak (was based on "gap is not negligible" assumption, see below). "gap is not negligible" - means if y' gets near to y, then y will get even higher and there will be always a market gap, which I think you disagree with. Based on your suggestion, on extreme scenario I would soften my claim to y'=<y, without us making profit. :)

supersergiy 8y ago

We aim to have the customers easily switch between snark and mining. Given that the rewards for mining on platforms such as Bitcoin half every 4 years, the mining incentives go down and tips become the popular form of earning. The evolution of this is not well understood but tips might not exceed the average size of transactions, of which we're on the better side.