111–120 of 238 posts
No one is producing Bitcoin at loss, because it doesn't make any sense, but it might happen temporarily. Imagine the mining cost as a distribution curve, and bitcoin miners filling the distribution from the cheapest upwards to where the cost equals the revenue, i.e. the highest cost miner is at break-even, so that total of 3.125 (+transaction fees) bitcoin worth of hashrate is produced every 10 minutes. All but the h…
Earlier quoted context omitted.
No. all coins do not have equal mining participation.
I think the comment you replied to meant that the other coins are also dropping in price, when bitcoin drops.
The headline is dramatic but this is literally how bitcoin is designed to work. Miners leave, difficulty drops, costs go down, mining becomes profitable again. The interesting part isn’t the loss per coin, it’s how long the lag between unprofitable mining and difficulty adjustment keeps forced selling pressure on the market.
Its still true and shows one of many issues with bitcoin. Based on bitcoin cryptobros, you need a certain amount of independent miners for the 'quality' of bitcoins. A bitcoin miner if its a state, can operate with a loss a lot longer if not even infinit, than the decentralized normal people (who do not exist anyway). It also creates a lot of pressure on miners if you do not run your gpus, yuou are also at a loss, wh…
Monero is the only cryptocurrency today that's at least trying to implement the original "one CPU, one vote" vision but nobody really cares about it since number doesn't go up.
There's a reason why countries invented a central bank who decides how much currency gets printed.
Earlier quoted context omitted.
I'm far from a crypto expert but aren't costs largely GPUs and electricity here? Those are now being driven by massive AI demand and are likely to remain so for the forseeable future. So how would costs go down?
If costs stay high, then people will drop out of bitcoin mining, which will cause supply to go down and bitcoin prices to go up.
Ie. Hidden away in a storage closet in a school or office, or in someone's house with an electric meter bypassed.
If a decent chunk of mining does that, then it could become uneconomical for those who do pay for their power.
My understanding is lots of bitcoin farms use stolen electricity. Ie. Hidden away in a storage closet in a school or office, or in someone's house with an electric meter bypassed. If a decent chunk of mining does that, then it could become uneconomical for those who do pay for their power.