Bitcoin (cryptocurrency)

[Gareth Barry Conlon]

The miners who run the network are rewarded in bitcoin, the supply cannot go over its all run on a mathematical equation that's well above my comprehension.

Bitcoin is the biggest due to being the first, the technology is better now Bitcoin needs to die eventually.

This is the question that i have never seen answered in any kind of satisfactory way. It takes massive processing power to keep the blockchain going. Without that it all falls down. That processing is paid for by issuing new coins. So the supply has to go up to pay the cost. But at some point that increasing supply will start to dent the value and it could easily get to a point that mining is not sustainable. If the miners bail out on mass then the game is up. Value is nil overnight.

In any normal investment asset class there is some underlying value. Even a bond in a defaulted company might get paid out as it goes through the insolvency process. Bond holders in Lehman Brothers got fully paid out in the end.

In crypto there is nothing to stop a total collapse.

 

[Wafty Cranker]

This is the question that i have never seen answered in any kind of satisfactory way. It takes massive processing power to keep the blockchain going. Without that it all falls down. That processing is paid for by issuing new coins. So the supply has to go up to pay the cost. But at some point that increasing supply will start to dent the value and it could easily get to a point that mining is not sustainable. If the miners bail out on mass then the game is up. Value is nil overnight.

In any normal investment asset class there is some underlying value. Even a bond in a defaulted company might get paid out as it goes through the insolvency process. Bond holders in Lehman Brothers got fully paid out in the end.

In crypto there is nothing to stop a total collapse.

When you send Bitcoin you pay a fee to the miners to move it/update the blockchain/whatever it is they do.

If some miners stopped doing it then the price of sending Bitcoin would go up. What would happen then is more miners would be attracted due to the increased reward for mining.

It’s like that at the moment when there is a sudden change in price and people start moving it around. The cost to do so goes up.

 

[Wafty Cranker]

So who actually decides that you can't suddenly mine loads more after reaching 21 million? Surely it's just code at the end of the day and can always be edited. That's only bitcoin too, that might not be the right horse to back. A good example is to look at the internet giants in the early naughties and see which ones are still around.

Also, it's incredibly unrealistic to consider Bitcoin (or other cryptocurrencies) will actually function as a currency when the value fluctuates significantly from one day to the next.

I think in the next 10 years physical cash will be a thing of the past, most transactions will be digitalized and governments will heavily restrict transactions in crypto because they can't regulate it (if they impose a way to regulate it, it essentially makes it pointless, so there wouldn't be a need for anyone to buy it). You'll still be able to buy and trade crypto, but you won't be able to buy your weekly shop with it, for example.

I don’t disagree with most of this. It’s capped at 21 million because of the source code. To be honest I’m not sure of the process to change it.

I agree we won’t be using Bitcoin for the weekly shop. You might use it for the odd high value purchase, like a Tesla maybe, but we don’t use gold to make purchases either. Bitcoin is more like digital gold.

Other cryptos will be suited to everyday transactions in future in my opinion. Mainly because of smart contracts and being able to cut out middlemen in transactions and automate processes.

There are so many shit coins for sure that won’t be around for long. I think there are also some really good projects that can coexist along side Bitcoin that serve a purpose fiat currency does not.

 

[oman0115]

Put 515 into Euthereum on saturday account is now sitting on 547. Not major money but a nice bit of interest, tempted to buy a whole coin it doesn't look like it is coming down anytime soon. What are other peoples stratergies, do you dabble with more than one coin?

 

[Craig]

Has anyone looked into a Luna and the whole Terra network?

 

[Gaz in Zurich]

Put 515 into Euthereum on saturday account is now sitting on 547. Not major money but a nice bit of interest, tempted to buy a whole coin it doesn't look like it is coming down anytime soon. What are other peoples stratergies, do you dabble with more than one coin?

been buying BTC,ETH, XRP,ADA for about 2 years now. Dollar cost averaging with any spare money I've had. Expected ETH to be higher by now tbh, but expect it to be 10k a coin by Dec.

 

[oman0115]

been buying BTC,ETH, XRP,ADA for about 2 years now. Dollar cost averaging with any spare money I've had. Expected ETH to be higher by now tbh, but expect it to be 10k a coin by Dec.

A lot of the predictions are saying similar.

 

[BusterPhillips]

This is the question that i have never seen answered in any kind of satisfactory way. It takes massive processing power to keep the blockchain going. Without that it all falls down. That processing is paid for by issuing new coins. So the supply has to go up to pay the cost. But at some point that increasing supply will start to dent the value and it could easily get to a point that mining is not sustainable. If the miners bail out on mass then the game is up. Value is nil overnight.

In any normal investment asset class there is some underlying value. Even a bond in a defaulted company might get paid out as it goes through the insolvency process. Bond holders in Lehman Brothers got fully paid out in the end.

In crypto there is nothing to stop a total collapse.

You are talking about proof of work, massive output of many miners which has a big c02 footprint.

PoW block chain mining will become obsolete in the coming years, proof of stake or proof of validation are much friendlier on the environment and require much less processing power and its one of the reasons Eth is switching to PoS I'm later 21

 

[Scottyboi]

Fly high Ethereum fly high.

 

[Gareth Barry Conlon]

You are talking about proof of work, massive output of many miners which has a big c02 footprint.

PoW block chain mining will become obsolete in the coming years, proof of stake or proof of validation are much friendlier on the environment and require much less processing power and its one of the reasons Eth is switching to PoS I'm later 21

But if that is the case Bitcoin would be obsolete and its value Nil. Are crypto coins going to survive the death of Bitcoin?