Bitmain, the largest mining hardware company, made around $4B last year

Post by [deleted] » Fri, Feb 23, 2018, 11:19 PM UTC

vernon99 wrote: post #13

kenneth wrote: post #9

As an engineer, it saddens me to see the huge inefficiencies inherent to cryptocurrency mining these days. Surely, when we're spending in the billions on wasteful hashing, we could dedicate a small fraction of that to engineering better consensus algorithms. Unfortunately, we have an ecosystem where everyone is incentivized to ignore the problem because they're too invested in maintaining the price of Bitcoin and oth…

This is a one-sided comment. There’s a lot of research going into different variations of proof-of-stake. 4 out of 10 largest crypto (by market cap) are PoS. There’s a lot of work Ethereum community (Casper), Cardano folks, Tendermint etc are doing to create better consensus models.

Post by ktta » Fri, Feb 23, 2018, 11:24 PM UTC

bitL wrote: post #20

vernon99 wrote: post #13

Earlier quoted context omitted.

This is a one-sided comment. There’s a lot of research going into different variations of proof-of-stake. 4 out of 10 largest crypto (by market cap) are PoS. There’s a lot of work Ethereum community (Casper), Cardano folks, Tendermint etc are doing to create better consensus models.

PoS is not going to be very popular as it removes the literal "money out of thin air" that was happening with GPUs in the past few years (coming to end in medium term). PoS strongly favors already well capitalized owners, instead of allowing new ones.

Post by wyldfire » Fri, Feb 23, 2018, 11:33 PM UTC

nosuchthing wrote: post #33

vernon99 wrote: post #13

Earlier quoted context omitted.

This is a one-sided comment. There’s a lot of research going into different variations of proof-of-stake. 4 out of 10 largest crypto (by market cap) are PoS. There’s a lot of work Ethereum community (Casper), Cardano folks, Tendermint etc are doing to create better consensus models.

Proof-of-Stake statistically equates to "Give the rich more money". Consider Ethereum's stats (and other similar PoS minting methods): Presale ICO / Premine ( max cost $0.50 USD per ETH ) = 72,009,990 ETH Total Supply today (Feb 23rd 2018) = 97,800,000 ETH Source: https://etherscan.io/stat/supply Now imagine a financial system where all the wealthy have to do simply own money (spawned from software or premine) to get…

Post by nosuchthing » Fri, Feb 23, 2018, 11:39 PM UTC

adadad3442 wrote: post #51

nosuchthing wrote: post #33

Earlier quoted context omitted.

Proof-of-Stake statistically equates to "Give the rich more money". Consider Ethereum's stats (and other similar PoS minting methods): Presale ICO / Premine ( max cost $0.50 USD per ETH ) = 72,009,990 ETH Total Supply today (Feb 23rd 2018) = 97,800,000 ETH Source: https://etherscan.io/stat/supply Now imagine a financial system where all the wealthy have to do simply own money (spawned from software or premine) to get…

>Now imagine a financial system where all the wealthy have to do simply own money... to get more money. You mean the current system?

Post by IncRnd » Fri, Feb 23, 2018, 11:41 PM UTC

wyldfire wrote: post #57

tlrobinson wrote: post #17

Is that $4B worth of USD/CNY, or BTC? If it’s BTC then a) the real figure is much lower because they can’t sell $4B of BTC without drastically moving the market, b) what portion of that is due to their BTC holdings increasing in value by more than 1000% in the past year? Either way it’s still a lot of money, though.

It doesn't matter much what the denomination is. Most sane businesses would convert to the currency of whatever their expenses are anchored in. a) I think you're mistaken. $4B per annum is unlikely to move the markets much.