Bitcoin Forum

so with the ever increasing difficulty of BTC mining (starting to slow and perhaps may level off and eventually decrease,) and the less popular NMC mining situation (involving high difficulties lately driven by BTC hoppers trying to make a quick buck from massive drops in difficulty)  there seems to be a need for more than just 1 or 2 virtual currencies to help with liquidity in the markets...  if we had more virtual currency options it would give hope and more speculation for high earnings due to very low difficulty from starting up...


but the one variable that seems to be haunting is the massive hopping around which skyrockets the difficulty...


see: http://consciouseconomics.org/why-multiple-currencies-are-good-eco-science



I proposed creating the LQC or Liquid Coin for the sole purpose of increasing liquidity for all currencies based on some intuition

Here's a better solution: when bitcoin mining profitability drops, that means it's more profitable to buy bitcoins rather than mine for them.  That is why I'm buying bitcoins next week.  All this talk of creating blockchain forks doesn't really help.

The last time people started saying that mining was losing profitability was a few months ago before the price increase to $32.  If/when bitcoins reach $100+, I'm quite sure you'll change your mind about mining not being profitable.  Remember, bitcoins can be divided up to 8 decimal places, so there is still plenty of room for growth and expansion.

In addition, the recent explosion in the number of bitcoin exchanges has dramatically increased liquidity, so this solves your "liquidity problem" anyway.

ahhh... no.


the thrust of your argument post is this:


which boils down to the usual IT'S NOT FAAIIIRRRR!!!

but it is.  you just weren't smart enough, on top of stuff enough, or courageous enough to take the risk and devote the time and effort.

neither was i.

but those who did deserve everything they get - and i'm quite content to ride their coattails.  why aren't you?

i am

Another Bitcoin-like currency will never emerge. When there are too few users adversary can easily get more than 50% network's computing power.

And look how that turned out. LTC. *Cough* *Cough*

Speaking of which, people still mine LQC.

LQC is broken intrinsically though as it never changes difficulty if I recall correctly?

So you just get more and more and more orphans and branches, it is a total mess.

-MarkM-

What does that mean?  It is still traded at vircurex.  Does it have a future?  mining level and price has increased.

hey- if people use it, they use it. it's limped along for ages now. I suspect if vircurex deleted it, it would die. But Coinotron lets you mine it, and vircurex lets you sell it. I still buy and sell LCQ. It's speculation, but we are all speculating in the end.

Ahhh, it has a pool!

Good idea, the pool probably orphans all blocks attempted by solo miners so basically it is a coin with an issuer.

The problem with that of course is coins with issuers work mostly by people's confidence that the issuers will actually "back" them ("honour" them) since they are basically IOUs issued by the issuer.

I wonder how much "reserves" of other currencies the issuer of liquidcoin has with which to "back" liquidcoins?

Is there a limit to the number of liquidcoins that will ultimately be issued?

I ask because with DeVCoin and GRouPcoin you cannot simply add up their "reserves" and divide by 21 million to find the value represented by each coin like you can for bitcoin-like (21 million ever, or at least some fixed maximum number ever) coins...

(Of course with many chains you also cannot easily add up their "reserves" because their issuer(s) have no intention of "honouring" aka "backing" them thus don't bother even having "reserves" to do so with let alone providing information as to exactly how many of what their "reserves" consist of.)

(Look at http://galaxies.mygamesonline.org/digitalisassets.html ... Coins like GRouPcoin, DeVCoin, IXCoin, I0Coin etc that have no "reserves" or whose ratio of "reserves" to number of coins issued is not known / cannot be calculated are worth trivial amounts compared to coins whose issuers actually "honour" them...)

-MarkM-

Maybe someone will clean that up eventually. Like superliquidblockprune!