no where in the bill does it mention that nodes, devs or miners will be brokers

and there is too much crying in this topic from people that cant understand anything beyond ELI-5 to understand what the wording actually does say

its almost as stupid as hinting that uber drivers are brokers because they take custody and move around assets(people and packages)
(now await the FUD to start of parcel companies needing to inspect all packages incase they contain private keys. because in these fantasists minds parcel companies and delivery guys should be brokers too(facepalm))

people really need to read proper terminology and stop crying because they dont understand the wording
no bill has ever been wrote in ELI-5. so it needs people to stop crying thats its not wrote eli-5. and put some effort into understanding legalese and actually learn what financial terminology is


its not about random people just seeing accounts/transactions(nodes)
its not about random people just collating accounts/transactions(miners)
its definetly not about random people making software for it(developers)

yes its not about mining pools because mining pools dont actually get deposits or do withdrawals.

its about regularly offering a service to take responsibility of someones funds(custodian)and for a fee administer it to someone else.. its the definition of a MSB
Money Service Business

think more.. western union. and less about your grandma putting money in your birthday card..

..
also lets say in some 5yo's nightmare where their nightmare came true. its not like users are suppose to by law just email the SEC with any transaction they spot over $10k

its actually a case still where businesses offering regular services of deposits and withdrawals on behalf of other people for a fee. where those businesses have to register as a MSB. take some financial qualification, and have a employee that is a compliance guy, create their own policy handbook of how their business will operate to remain compliant.
have that policy handbook approved as meeting the standards of regulation. get licenced
and such.... and then as part of it. report any large movements they handle

once people actually read what it takes to be a broker. they will realise that their nightmares about nodes. miners. devs are just dreams.. .. fantasies in their head. and not what is actually being proposed. because their role/job/hobby/life has nothing to do with that kind of 'handling' of funds

alot of people in this topic spreading fear dont even know what a MSB is and always evade the discussion about MSB's, and try to poke into the fear that every human has to report on each other..

if only they learn about what the requirements are to be an MSB..  they might learn what brokers really are and why their fears are so irrational. and missing the real discussion that should be happening about the bill.

develops node users and miners were never in the red zone of risk..
if people realise that sooner they could ask their senators for actual amendments that would impact those who are at risk even less.
EG. ensuring it only applies to US registered MSB serving only US residents. and not stretching to other country MSB serving US residents. or US MSB serving other countries residents
as not ensuring that can expand US jurisdiction too far outside its borders

..
its like people are crying if this is said
"any person running in the olympics has to have a mandatory drug test every 6 years"
the crying is about the "any person" where now its spreading fud that any runner has to have drug tests..
WRONG
they miss out the crucial parts .. they miss out understanding what it takes to actually qualify for the olympics.
they miss out that it involves only those on the olymplic running track

all because fud "any person" makes it sound bad for everyone (facepalm)

can people try to learn the legalese and actually learn things like MSB and brokers. and stop crying about two words taken out of context "any person"

.. then spend your time learning where this bill can actually impact people

at the moment those holding gold and those mining new gold are both paying over $1k to obtain their gold. and no one if foolish to sell for less then they acquired it for.

if gold suddenly cost $550 to mine. then some large mining groups that can mine millions of ounces of gold could happily sell all their gold down to $600 and still profit.
but along the way lots of buyer would be buying it up causing a resistance. making it difficult to oversupply the markets to cause a stable price drop that lasts

the only real chance in reality for gold to tank. is if the 'space mining' brings back tonnes of gold in 10-20 years and want to sell it down to low prices and enough new supply to outpace the resistance.

it certainly wont tank just because of crypto.

This is both right and wrong. Paper bills in the past are made as a placeholder for when you don't have the gold coins to purchase goods, with paper bills practically meaning that "I owed you this much gold coins with this purchase, you have to trust me that sooner or later I will pay you with its counterpart in gold". Until some time later we find out that we can endow these bills with value themselves and not just use them as placeholders, hence why we call these "banknotes". Now going back, it is quite true that the ones who protect a fiat currency's value is its own government, but what endows it with value is the economy it is backed upon.
[/quote]


pre bank notes there were no money laws.
there was no minimum wage. there was no income tax

the first american income tax came in in 1861 and it was valued in DOLLARS not gold dust
yep bank notes have been around for quite a while.

before that. in the gold era. it was more like service charges not income %

at first it was its legal tender and tax payment laws enforcing fiat be circulated and taxed upon that keeps fiat relevant and important to all commerce


then. the value became based on the sweat labour value of minimum wage as the stabalising factor once dropping the gold standard. which translates to how many [loaves of bread] an hours labour is worth and the value balance there of. of everything compared to fair value of what an hours minimum labour deserves.



to put it short
if retailers in america would usually accept say.. euros.
and be allowed to freely pay employees in euros and their pensions plans in euros and the taxes in euros.. america would not have a powerful dollar.
its due to the laws keeping the dollar relevant for all transactions that keep its value

meanwhile. whilst citizens moan to their representatives about how they feel scared and threatened as a node user and want comforting hugs from representatives telling them they aint going to be part of the group.

actual MSB that are actually going to be pushed into more paperwork and requiring KYC for just atomic swaps and routing(previously unreported). are setting their businesses up outside US jurisdiction. or changing business plan to avoid such services.

the large exchanges love more hurdles and barriers of entry. because they get to be the monopoly of compliance knowing any small business now has even more regulation, so small MSB tend to avoid getting involved and avoid expanding. and end up fizzling out of the custodian sector. meaning less competition for the big boys.

parts of it is about the fact that MSB's need to be compliant. meaning they need a employee thats trained in compliance and pass a regulatory test and also alot of other little bits of bureacratic headache, policy handbooks and licence fee's.

its not a simple 'send an email with a customers name address and value moved'..
its all licences, qualifications, audits. all of which have costs. and if you dont do it the MSB can be liable as a launderer

big business already has this stuff.. but the small businesses just doing crypto-to-crypto are going to see a steep learning curve soon.... very steep
lots of fines and court cases for MSB not walking the thin line of regulation

fiat is not based on pure trust.
its based on laws. such as:
people are paid a minimum wage of X fiat.
people have to pay tax at a % of fiat
the country utilises only certain format of fiat

thats what gives fiat value. the laws

yawn.. obvious.
when the wording said things like
any person who (for consideration) is responsible for [custodian for a fee]
and regularly provides any service [business]
effectuating transfers of digital assets for another person.[MSB]

it was clear that it was never about software developers, node users, miners or retailers
it was always about MSB's

miners, nodes, and software developers dont take custody of peoples funds.[no responsibility]

anyway, while people think the battle is won even though the obvious was always true from the start

now all exchanges and coinjoins and MSB that only handle crypto-crypto have to KYC.
this can be avoided by just registering the business outside of the US and IP ban US usage. much like the tactics of the bitlicence era

and yes this leaves LN payment route hubs in the new MSB category..
not because of any node handling or software usage. but for regularly offering a payment routing of other peoples value for a fee

the article seems to be a "noob hope" article.
its tries to highlight a hope of profitability by explaining step by step everything involved. but the crux is when actually doing it. it ends up unprofitable

the article has too many variables and what is not said is the competition
asic farms that easily set up industrial units.
asic farms that get whole sale prices on next gen asics due to bulk purchase
asic farms actually move to a location of good electric contracts

and lets not forget. the "virgin coins" sold on OTC get the best deals in bulk. so trying to sell 0.0001btc on an OTC wont get you a premium, compared to someone offering 6.25 coin+

so here is a better solution to earn more..
DONT MINE
just have a good internet connection and offer to be a mining pool where others do the work for you. and you take a 1% cut from everyone

yep
imagine it this way
imagine a pool of say 65000 asics dotted around the world.
you can either be one of them asics. getting just 0.000099 every time the pool solves a block
(6.25reward+0.25txfee/65000users-1%pool admin fee)

or. just having good internet and a stratum script. let others do all the work and you get to keep
0.065(all miners 1% pool admin fee added up) plus any mergemine coins

so which is cheaper and easier and less costly.
hobby mining for 0.000099 or being a pool for 0.065

the secret is you dont need your own asics to run a pool. you just have to publicise your pool well to get others to mine for you

well getting marble. or quartz has value. because its not just laying around on the ground for anyone to pick.
there are costs to quarry certain stone and so certain stone has different value due to this.

the more it costs to quarry. the more value it has

if gold was as easy to mine using a spoon and a coffee filter in everyones back yard for ~$2
gold would be selling from spot to speculative high of $2.01-$5

instead because of excavators, labour, diesel and sluice machines. gold sells at spot $900-$2000

bitcoin costs thousands to mine
it costs $~25k in china/iceland to mine.. and over $50k in germany/japan

so right now bitcoin is mid value, good purchase for some regions, as its cheaper to buy than to mine right now

as for the demand side.
well yes less merchants use bitcoin as of 2015. yes bitcoin had more merchants 2012-15 than it does now.
but the general population of users has increased since 2015.
its now moved from a attain bitcoin to buy things. to retain bitcoin to invest/lockup/hoard to then maybe use on other networks as collateral

FTFY

that does not mean bitcoin nodes.. because nodes dont get any 'consideration' (fee) nodes are not even custodians of other peoples assets.

also the "regularly provides any service effectuating transfers"
this does not mean just handling money(retail).. nor does it mean handling data records of transfers(accountants)(databackup)
nor software developers making software for brokers/MSB

and no.. mining pools are not custodians on behalf to 2 parties. they dont take responsibility of peoples funds.
so dont fall down that rabbit hole


it actually then comes back to the common sense of what a broker is. and what a MSB is

it means actually operating a service for the purpose of transfering assets for another person
average joe with a node is not offering a service
a grocery store accepting payment is not offering a money transfer service

businesses classed as MSB are affected
this again is the realm of the big exchanges and coinjoin, escrow services. not a thing to scare bitcoin node users over.


if people poke their senator about irrational 'worse case' stuff. the senator will just think the person poking is irrational and ignore their plea
however if you act rational and poke your senator about rational pleas regarding over reach of laws on MSB's. then you will have a point worth listening to.

in short
if you phone a senator and say 'im just a node user i dont want to report anyone' they will say fine bye.
because thats not what the proposed law is about,

if your an MSB and phone a senator. then yea the conversation will be a bit longer and more worthy

im gonna keep this quote for future reference for other topics. i think doomad can already realise why his words can be used against him. especially when he social dramatises how others that think the worst should just f**k off


in this case, thinking the worse has its limits. because although it does not define what a broker is not. it does define what a broker is. and makes no mention of a broker being a software developer or a customer of a investment company.
leaning on the side of 'if it doesnt mention it assume the worse that its included'. means a banana and a grapefruit can be a broker too.. (famepalm)
its where common sense needs to be added to the context of the document. to then understand it. . and not just pick something thats not mentioned in it and then try to twist it into suggesting that it includes it

in short its about MSB(money service businesses) not the contracted software developer of MSB. not the delivery guy delivering to a MSB, not a customer of a MSB

so again defining what is an MSB would include businesses and associations and organisation that perform transfer, exchange, transact as a service business. not lil old joe paying for a bottle of beer at the local 7-11

its actually about MSB that are brokers.. not grocery stores accepting money for goods.
brokers(companies being custodians and performing trades of investment that require its employees doing the trades to pass the series 7 exam)

now can people stop trying to twist it to make it sound like grocery stores, and grocery store customers are brokers.. because they are not. and the draft bill does not even assume or suggest or hint any such thing that retailers and customers are

so again. dont worry about normal users having to report every time they accept a block(like some are trying to FUD above)

its about services like coinjoin. exchanges, altcoin swaps. (actual businesses offering the service)
so yea try contacting your local reps to get the draft dropped for its real purpose. just dont go running down rabbit holes thinking it actually affects everyone receiving a block of data or buying a coffee

this "flared" gas is the excess stuff they have to release at points of over pressure in the oil collection process.
its not like they just releasing it for the pure hell of it. its the have to release it, or BOOM

its not clean gas that people use in houses.. and the cost to have a gas refinery at every oil rig outweighs the cost of any refined gas being affordable to send down the residential pipeline. so burning it becomes best option

suadi aramco are not going to suddenly make gas refineries/gas powered power plants for the random switch on-off of the over pressure events. .. but if another company wants to give it a shot. they can.

the issues are that the highlight of "flare more gas than half the bitcoin network" sounds massive.. but is not based on 1 oil rig.
its based on thousands of oil rig/pumps/release valves combined around the area. meaning you cant just tap into one pipeline and collect the dirty unrefined gas and convert it to power in one location. it requires lots of refinaries/plants/piping everywhere.
and not a constant supply as the flared gas is only flared when there are over pressure events.

so it will end up costing the third party contracting with aramco alot of set-up investment. either to refine and power generate on site(lots of micro power plants). or transport to a more central location

but hey. if they think they can do it. so be it

but with that said.. even in the 1990's the top oil companies have been saying their underground "reserves" of oil are depleting and would run out before 2100. so they already knew they would have to shift to other sources to create energy.
the whole 'lets blame fossil fuel and shift to renewable. is actually a ploy of oil companies needing to diversify but they dont want to pay for the infrastructure. so instead they got governments to set a plan that citizens tax credits turn into grants for many companies to use to make new infrastructure.

the smart plan. "why use own profits of old tech. when you can get free money from tax grants to stop using old tech"

any way your spot on about third party buying excess gas from aramco.. so merit

not all the hash power of springs 170exa peak was diminished to 85exa bottom due to "china"

it was actually the smaller percentage hashrate from china drop. that caused a price drop that caused it to be too expensive to mine in america/eu. which caused american/eu miners to drop out. in preference to just buy cheap coin

the chinese drop was far les than 50%

51% attack only means. essentially transaction spending control/ by going back and make new block submissions with different/less/more transactions than before.

any blocks that try to "change the algo" will be rejected by the full nodes that are sticking to the normal/old algo

to perform a true "algo change" mainly revolves around the main exchanges/merchant nodes accepting the new algo.. . because what they accept, means what other users and pools can then spend through.

if merchants/exchanges are ignoring/rejecting a certain block type they dont like. then the pools and the users transactions within the blocks the pools make that got rejected. wont get to spend their value, they they give up making blocks that wont get spent(recognised my merchants).

so merchants/exchanges have most power in decisions of change

proof of stake is where a person has to have alot of funds on a single address to earn more chances of signing a block. he and he alone has sole control of his stake

..
in bitcoin a solominer does not have to have alot of hardware. as a pool. many users join together. thus its not a solo attempt(unlike PoS) this is where none of the hardware need to be in the same building and none of the hardware needs to be fixed to a single server
its not just about stratums all over the place. but also the freedom of users to 'pool jump' to different pools

in PoS
if a coin was to 'jump' out of a persons utxo.. he has less power. but he has to be the one removing his control as he is the only one able to decrease his 'stake'. thus its very central

in bitcoin users have the asics, and if their chosen pool for the day is acting sketchy. THEY pull their power away from the pool. thus again decentral. the pool cannot force the asics to stay with him. users can pool jump all they like

first. someone doesnt join bitcoin to mine.. they join to get bitcoin..
the way they get bitcoin then becomes a decision. some prefer trading and dont want to mine no matter if its cheap. some will mine no matter the price.
some look at the price. vs cost. and then work out the best way

so to answer your question why buy..
because there are occassions where its not cheaper to mine!!!
(unless willing to sell your house and move to another country)

its better to ask it in another format..
why do greengrocers buy banana's..
because they are speculating they can later sell banana's for more then they bought them for..
part of this is deciding should they farm their own.. which has a cost. or find a simple method to obtain banana's if the wholesale price of banana's is cheaper then farming this season in their region

most regions find it cheaper to buy banana's than to farm them themselves.. and so they do that.

and thats basic economics. .. of every 'produce'
the real question is not why buy if they want to mine.. the question is why mine if you can buy cheaper
EG when the price was $30k but american hobby miners had a $35k mining cost.. why would they mine.. its cheaper to buy

and now you understand that different regions have different margin zones that have a pivot point of that decision. which is where most of the 'support levels' and resistant levels occur

stock to flow is a false graph of hope..

the stock metric. actually contains a price element..

so ofcourse they are going to correlate..

however if you take a real stock-flow of bitcoin without a price manipulation

its not this
         ___
    __/
 _/
/

its this


the manipulated stock to flow. is in step formation that matches price formation.. because the steps are the price.

so its not predicting anything its using the price to manipulate the stock to flow to resemble the price
in short. stock to flow is a meaningless chart

2021's $60k was not a sustainable value.. it was highly inflated compared to mining costs at the time
much like 2018's $20k
(both occassions bound to correct down)

2018 had some mining drama that tanked the price down to $4k
much like 2021 had mining drama that tanked it down to $29k


the settled value level of mining bottom line was year average (pre and post mining drama)
2018 ~$5k
2021 ~$25k

so expect good value bottom line(the new ZERO)
2018 ~$5k
2021 ~$26k


anything above that is just speculative human emotion price decision. that no one can predict
all you can do is watch the hashrate, convert to actual mining cost(including hardware) for different regions of the world to see the different layers of support in human decision to mine(to sell) or to buy(to hoard)

america is mid $30k. so this mid $30k threshold is a pivot point of human decision change from mining to buying. which then accellerates the price up. or down depending on where the price sits
(china/iceland always have cheapest mining so dont even worry about their pivot point, they are part of the bottomline(new zero))

UK/EU are above that. (so right now they are TEAM BUY) as its too expensive to mine right now
germany/japan for instance has a moning cost of about $52k. so they are team buy. and as the most expensive mining region. they are part of the 'demand' play that gives up buying above that amount which then causes the price escalation to drop off/maxout (no one wants to buy if they can mine for cheaper).

there is no such thing as a 79yo being an immortal god that thinks he is in perfect health..
.. he may think it.. but that doesnt make it true


.. as for thinking that the 95% effectiveness vaccine number some how means that it has weakened your immune system by 5%.. (or your exaggerated 50%(half empty)).. you are wrong for many reasons

that is not what the number means.. whether you then take another wrong step to then exaggerate it or not.
maybe learn what the 95% actually means. and then return once you learned something

if 6.25btc is worth $250k
then no miner will be dumb enough to put in $500k to win 6.25
and just like gold miners if the land has very little gold dust. they wont waste more then gold value mining such small amounts
there actually is a correlation between mining cost and bitcoin price

if network is at 110exa(110,000,000thash) =1mill asics at 3.25kwh
=3.25million kwh = 3.25 thousand mwh (3250megawatt per hour(3.25gwh))
=86mw per btc (megawatt per btc)

there is very good reason why each bitcoin today uses 86mw

as for the tweet saying that bitcoin uses over 70twh a year
at current gen asics.. would require hashrate to be near 300exa hash every day for a year to get to 70twh a year, even the 2019-20 gen(s19) required a hashrate of 200exahas constant for a full year to even be close to 70twh a year

..
if you think bitcoin would still be worth many thousands of dollars if everyone could mine if for $2 a day.. your deceiving yourself