Cryptocurrency is a big part of the modern tech landscape whether you like it or not. Evidently, it was a big part of NVIDIA’s business for the past couple of years. Now, the company is in trouble with the Security and Exchange Commission (SEC). NVIDIA hid the number of GPUs that were sold to crypto miners over the past couple of years.
People who are into crypto mining are always on the hunt for a new and powerful GPU. And, it just so happens that NVIDIA is a company that sells new and powerful GPUs. We can’t deny that crypto mining has had an impact on the company’s business over the past couple of years. The thing is that the company didn’t want us to know just how big of an impact it had.
NVIDIA didn’t disclose how many of its GPUs were sold to crypto miners
The SEC has fined NVIDIA for failing to disclose how many of its GPUs were sold to crypto miners. After the dust settled, the company wound up paying a fine of $5.5 million (which is like a person being fined 25¢ for returning a book to the library late).
NVIDIA reported its revenue growth for the 2018 fiscal year. However, the company was required to report on how many of its sales were for the sake of crypto mining and not for gaming. If you’re invested in NVIDIA (the gaming company), you’d want to know that most of its income came from the gaming market. The issue here is that a portion of the company’s income didn’t come from gaming. It came from the unregulated and unpredictable cryptocurrency market. This is something that would be crucial to know if you’re an investor in the company.
So far, it seems that the company only suffered a fine. However, now that this information is out, the company could face losing investors. We’re also not sure if the company won’t face any lawsuits because of this situation. Only time will tell.
2022-05-07 15:06:03