Mining $2 per BTC @ 1.7M difficulty is like scouring the roadside for aluminum cans to return, except imagine every day the cans are worth a little less.
Difficulty hasn't been 1.7M for some time now. Also when difficulty was 1.7M price wasn't $2 so I am not sure what you are trying to say. Then again I don't think you are sure what you are trying to say. Also none of this has anything to do with your claim that mining @ $2 is impossible. If difficulty fell back to 200K would it still be impossible? If BTC was $20 USD but difficulty was 40 million how profitable would you be. Simply claiming $20 BTC is better than $2 BTC is meaningless. Higher BTC is better for speculators. It has nothing to do w/ economics of mining. I never said impossible, I said that mining 0.5 BTC/day at $2/BTC is not worth my time. Vastly different  And I also said whether its $20/BTC or $2/BTC doesnt matter as long as the price is STABLE. Stable is bad for speculators. Inflation is VERY BAD for BTC. |
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It will only die when there is little to no incentive to mine. Just imagine the price when there is only hobbyists mining Bitcoins. That's what the bottom will be.
So around $2.57? LOL |
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ONCE AGAIN AND A LITTLE SLOWER .... (sorry no pictures)
mining $2 per BTC @ 1M difficulty is the same as mining $20 per BTC @ 10M difficulty.
You have a point on VOLATILITY but that isn't the same as saying BTC is dead @ $2.00 or $x.00. The best thing ever for BTC in the short term would be for it to hit $2.00 and VOLATILITY collapse. That would massively increase adoption. BTC @ $2.00 w/ 1% daily volatilty is better for everyone except specualtors. BTC @ $20.00 w/ 30% daily volatility only benefits speculators. Yes you can mine and profit less @ $20 BTC than @ $2.00 BTC.
You say again like that's what you said the first time... Slowly for you: Mining $2 per BTC @ 1.7M difficulty is like scouring the roadside for aluminum cans to return, except imagine every day the cans are worth a little less. INFLATION |
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Yeah I guess you people are just in denial and dont understand the difference between 2 bitcoins at 2bux vs 2 bitcoins at 20 bux lol. WTF, Its pretty simple. IT COST MONEY, ELECTRICITY and TIME TO CREATE A BITCOIN. If it costs more to make bitcoins then there worth then it makes no damn sense to make them, if you dont make them then there will be no more bitcoins being made. The gallon of milk was a perfect example or gas. On top of that at 2 bux a bitcoin, and then going down to a dollar a bitcoin, down to 50 cent a bitcoin, your just having issues and going no where no stability no businesses will take the risk of accepting bitcoins, so bad for bitcoins, if they were 10 dollars a bitcoin and stable at 10 dollars a bitcoin, it would make sense to create bitcoins, it wouldnt cost more to make a bitcoin then its worth, and businesses, real businesses would be willing to accept bitcoins for payment. Until those two things happen, bitcoin is dead except to play with period.
^^^ this. |
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I'd advise Iceland build its economy on fish and tourism, as it used to.
They wrecked their economy with financial speculation the first time around. They're (hopefully) too smart to do it again.
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There is also the possibility of a simpler explanation...
If you imagine a chart, with the price of bitcoin versus how cool it is, the price went up as coolness went up.
Inevitably though, things return to their actual value. As the coolness wears off, BTC approach their inherent value, which is zero. As long as there is $2 worth of "cool" factor, they will be worth $2. When 50% more people stop thinking it is cool, it will reach $1.
It will never reach zero, as there will always be some cool factor to it.
That being said, if the difficulty decreases by 90%, it will be worth $2 to mine a bit coin, but it is unlikely if difficulty decreases 90% that the price will stay at $2.
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Bitcoins at 2 bux are just not worth it. Why would you need it or buy it at 2 bux a coin?
Um, how is ten BTC at $2 a coin any different than two BTC at $10 a coin? The same way buying 1 gallon of gas at $4.50 is at buying 1 gallon of gas at $45.00 is not the same. If you, like mine, mine 0.5 BTC a day, $1 a day versus $5 a day makes a difference. If BTC STAYED at $2, fine, but when every day you sign on its continuing to depreciate (in other words, runaway inflation, which is what it was touted as preventing) aside from mining or trading or ponzi schemes or buying or losing, it becomes a question of "I can buy a loaf of bread for 1 BTC today, and next week, I need 2 BTC to buy that same loaf of bread". I know everybody here doesn't like to hear it, but when it takes the same amount of effort to acquire BTC, but they become worth less and less, that is called inflation. It's not about the price being $2 or $200 a bitcoin, it's about it being STABLE, which it isn't. |
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If a small-ish group of people can buy the daily supply with a smallish amount of money, I would say that the system is in it's death throes.
According to your logic, Bitcoin was dead 2 years ago. But let's examine something. If the price went back to $1, Bitcoin would be just like it was when it was previously $1, except for the following: - many new exchanges - many new merchant solutions - many new vendors - stronger hashrate - stronger brand recognition - longer lifetime (more reasonable to trust) - stronger client software - no displacement by multiple competing chains - etc. If Bitcoin was viable when it was previously $1 WITHOUT all those subsequent improvements, it'd be reasonable to think it's viable at $1 WITH all those improvements. Sounds good. What I'd like to do, since there are many places to spend it: I would like to buy several $100 bills from you in USD. I will offer you $25 each for them. Next week I will give you $20 each for them, and next month $10. You'll be able to spend the $10 anywhere you'd like, or, I could buy that $10 from you 2 months from now for 25 cents. If you prefer coins, I'll buy as many silver dollars as you want to sell for $0.30 each. Or for pure silver, I'll buy it from you at a year ago's prices. We'll neglect inflation for the point of all of these. |
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Seems to me bitcoin is dead where its been hanging at for weeks, 4 to 5 bux a bitcoin is not helping anyone. To expensive to create them with the cards and electricity cost, selling, trading too risky for way to low of profit, the only way bitcoin gets back to where it needs to be seems to be if some company starts accepting them, newegg, amazon something like that or when all the bitcoins have been made, then maybe the value would rise. It is a toy at this price point, needs to be 10 to 15 a bitcoin to actually pay for itself, pay for anything make it work. 1 buck sucks, 4 bux sucks, kinda dead and stuck for past month, not looking good.
This was kind of my point... it wasn't about being a "ponzi scheme trader" or whatever the guy with 8 posts was saying.. It was more like a 9% decrease in difficulty versus a 66% drop in price makes it difficult to sustain. For me below $10/BTC it's not really worth much to *me personally*, because I mine, and because I have (2) daytime jobs already, and have no desire to speculate or trade. But how can I buy something when the value is fluctuating so much, mainly in the downward direction? |
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Well unless everybody is doing short sells, I can't see making any money on the trading either really.
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At present difficulty levels, for me personally, anything below $8-$10/BTC is mostly a waste of time mining wise. The video cards are paid for, but at 0.50 BTC a day, I'm getting what, $60 a month so basically just covering electric.
As the price continues to fall like the last month or two, at what point should we consider it "dead"?
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I think ButtCoin has a better chance of success than StupidCoin. It's all about branding.
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If you want to deal with BTC and PayPal, it's best just to donate your BTC to a good cause, so when you "lose" them you won't be surprised and it will go to a good cause.
If you're looking to "lose" USD via PayPal, you can always shop on ebay.
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MtGox being uselessYour request (#XXXX) has been received, and will be reviewed by our support staff. Our help desk is experiencing unusually high traffic currently. We regret to inform you that you will experience some delays (currently 48-72 hrs) in us getting back to you. We sincerely apologize for the inconvenience and are working on all fronts to improve our response times. To review the status of the request and add additional comments, follow the link below: http://support.mtgox.com/tickets/XXXXXXXXXXX XXXXXXXX, Aug-09 00:21 (JST): hi I sent GBP XXXX credit to your UK bank account from mine, requested yesterday, it should not have taken more than 2 hrs, please let me know if you have received it as yet, btw Britcoin.com can do this in under 2 hrs & they're a tiny exchange in comparison many thanks ID: XXXXXXXXXXX I think the issue is you wiring bank funds to Mt. Gox, which is historically useless. I was almost hoping the next post would be that you lost your money, so it would be one more reason to steer people away from them. |
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My teacup is full of clouds, a storm in fact. I'll buy up all your bitcoins once the price is low enough  I had dreams, they were clouds in my coffee |
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The domain is definitely worth more than 5 BTC...
Everything in this world is worth exactly what people are willing to pay for it. Everything. |
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Just curious... stopped paying attention for a week, and now all of a sudden we're at 8 bucks.
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Hi everyone,
Finally received paypal's outcome this afternoon... They reversed the payment to the scammer so I'm out of pocket. Didn't get a reason or anything... I am royally pissed off...
1.) What did you learn? 2.) Did it cost you enough to remember what you learned? |
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