Nvidia was recently accused by the top US regulator, the SEC, of hiding the number of graphics cards sold for crypto-mining. According to reports, the company must pay around $5,500,000 to settle the charges. Since last weekend, the SEC would be launching these charges, but today they boomed in the virtual market.
Nvidia has been a great distributor of graphics cards in the crypto market, helping large companies dedicated to mining Bitcoin and other tokens. However, operations at the company have been questioned as illegal, which has drawn the gaze of US officials.
Nvidia responds to SEC accusations
The SEC regulation agency believes that the technology company scammed its merchants by claiming that its products increased in value due to the rising trend in the gaming world. However, the information is wrong because the SEC’s evidence demonstrates Nvidia’s link to crypto mining.
It is reported that the company responded to the call and will pay whatever is necessary. In this way, the leading technology company will pay to hide the massive sale of its graphics cards to the top crypto firms. SEC reporting that negotiations with Nvidia started last weekend.
SEC does not forgive irregularities in technology companies
The SEC, a ruthless regulator, does not ignore irregularities in technology companies. According to reports, the video game market has declined with the rise of other technologies, including NFTS.
The agency reports that the charge dated to 2018 when Nvidia announced its increase in sales of graphics cards. The funny thing is that the mining operations with Ethereum increased rapidly for the year. SEC investigated the data provided by the company and finally found the truth.
After the report, it is indicated that graphic cards are the scarcest products for crypto mining. To this is added the processors and power source, which is the main factor discussed by regulators. The Bitcoin mining involves a considerable amount of GPU also related to the game’s world.
The crypto mining industry would decline in sales knowing that Bitcoin has lost over 50 percent of its value. This also applies to tokens such as Ethereum and Solana linked to the market. However, the tokens are expected to recover their value, changing the prospect of mining cryptos.