Comment by wordofx
Deepseek was a crypto mining operation before they pivoted to AI. They have an insane amount of GPUs laying around. So we have no idea how much compute they have compared to xAI.
Deepseek was a crypto mining operation before they pivoted to AI. They have an insane amount of GPUs laying around. So we have no idea how much compute they have compared to xAI.
Crypto GPUs have nothing to do with AI GPUs.
Crypto mining is an embarassingly parallel problem, requiring little to no communication between GPUs. To a first approximation, in crypto, 10x-ing the amount of "cores" per GPU, 10x-ing the number of GPUs per rig and 10X-ing the number of rigs you own is basically equivalent. An infinite amount of extremely slow GPUs would do just as well as one infinitely fast GPU. This is why consumer GPUs are great for crypto.
AI is the opposite. In AI, you need extremely fast communication between GPUs. This means getting as much memory per GPU as possible (to make communication less necessary), and putting all the GPUs all in one datacenter.
Consumer GPUs, which were used for crypto, don't support the fast communication technologies needed for AI training, and they don't come in the 80gb memory versions that AI labs need. This is Nvidia's price differentiation strategy.
Any relevant crypto has been not mined on GPUs for a long time.
But a point was made to make it less parallel. For example, Ethereum uses DAG, making requirement to have 1 GB RAM, GPU was not enough.
https://ethereum.stackexchange.com/questions/1993/what-actua...
Also any GPUs are now several generations old, so their FLOPS/watt is likely irrelevant.
Do you have any sources for that? When I searched "DeepSeek crypto mining" the first result was your comment, the other results were just about the wide tech market selloff after DeepSeek appeared (that also affected crypto). As far as I know, they had many GPUs because their parent company was using AI algorithms for trading for many years.
https://en.wikipedia.org/wiki/High-Flyer