Shipment company

Police intercept £2.4m shipment of cryptocurrency mining graphics cards

A shipment of nearly 6,000 graphics cards was seized at the port of Huanggang, on the border between Hong Kong and China.

If you’ve ever wondered why you couldn’t get your hands on the legendary PS5, the answer is in the chips. Since the rise in popularity of blockchains for things like cryptocurrency and NFTs, there has been a growing thirst for graphics cards and computer chips. As a result, manufacturers have struggled under the weight of demand.

If you want to learn more about cryptocurrency mining, you can see the number of graphics cards needed below.

Cryptocurrency mining is illegal in China, and importing graphics cards is subject to much stricter regulations. As reported by Chinese tech site My Drivers, the cards seized were branded XFX, equivalent to AMD branded RX 6700 XT cards. Around 20 million yuan or £2.4 million worth of material was seized.

The cards came under scrutiny after a manager noticed that some of the products had been relabelled. This is not illegal per se, as it is a common practice with refurbished graphics cards. However, when comparing the specs on the labels to the cards themselves, it looks like they don’t match.

There could be several reasons for this. Since import tax is based on the value of the products, the company may have attempted to undervalue the items in an effort to spend less on import taxes. Since graphics cards are incredibly expensive components, it makes sense that the company would want to cut costs.

The other reason is the nature of the cards if they are actually refurbished and resold. Cryptocurrency mining is incredibly power-intensive and tends to drain graphics cards quickly. It has been suggested that companies refurbish these cards, or repurchase cards close to depletion, then resell them to people who need them for less power-intensive activities like gaming.