Bitcoin ecosystem’s weakness

[pooya87]

I find it really hard to believe your number of 20GW when the energy minister is saying stuff like this!

You are just focusing on that short lived issues (about a month or two) I mentioned in my other comment instead of the whole picture. For example here is recent news about increasing the output by 30000 MW.

Besides during this time some of the exports were ceased or decreased because of lack of payment (despite what the article said). Iraq wasn't paying because it was afraid of "maximum pressure" campaign (lol) also in the east US had just fled Afghanistan and there was chaos over there since nobody was really in charge and didn't have access to the funds to pay.

And they could boast about producing anything, they always do shit like this, from their toy invisible plane to every space-age weapon they've invested, when it comes to reality is stuff like that above that happens.

Well every government lies or exaggerates about all kinds of stuff, Iran isn't an exclusion. But that doesn't mean just because of one lie, everything else is BS.
For example US Marine Corp were supposed to be tough not cry their hearts out when they stared down the barrel of a gun. Or EWR, SAM, THAAD, etc. were supposed to work not stand impotently when the BMs came. Or the AUDS were supposed to see those "toy invisible planes" but they still haven't succeeded in tracking a single one of those that are circulating above their head 24/7. I can go on

[stompix]

I find it really hard to believe your number of 20GW when the energy minister is saying stuff like this!

You are just focusing on that short lived issues (about a month or two) I mentioned in my other comment instead of the whole picture. For example here is recent news about increasing the output by 30000 MW.

Bruh...

Iranian Energy Minister Ali Akbar Mehrabian announced that 30,000 megawatts of electricity will be added to the current capacity of the country’s power generation network within four years in order to prevent future outages.

It Will be...just like a lot of things will be done in Iran.
There is no increase in output in sight anywhere, it is impossible to increase that overnight, no country can do that, it takes years, even China when it plans something like that and it pours billions it says it will be done in 2025, 2030. Not overnight, this is not magic.

despite what the article said

And again as in the last months, you want me to believe a random guy on the internet and not an official statement by the spokesman of that country. Sorry, but how about no!  

Well every government lies or exaggerates about all kinds of stuff, Iran isn't an exclusion. But that doesn't mean just because of one lie, everything else is BS.
For example US Marine Corp were supposed

Let's leave the whataboutism out of it, ok?
I'm so tired of this I don't feel like even discussing it one bit.
If we talk about Iran we talk about Iran, not about the US, not about Trump not about Disney.
It doesn't matter if anyone else is lying also, that doesn't make you better one bit.

[syntac]

Sweden's planned ban on Bitcoin mining in the European Union is not a weakness of the Bitcoin ecosystem, all of this is simply because Sweden is weak in making regulations that accept bitcoin and Sweden may deliberately ban cryptomining so that Bitcoin prices can fall.

[Ucy]

I have read an article that the Swedish regulators are proposing a ban on cryptomining in the European Union.

If they ban it or regulate it, this presently shows a weakness in the bitcoin ecosystem. Anyone can argue that they might not do it because half or more of their energy sources are renewables. However, the regulators can always have the ability to ban cryptomining because it has become a business that needs regulator permits and licenses to begin operation or be approved to operate. The danger of a ban will always be there.

I reckon there should be a development and engineering team formed to research on Asic resistance. Users should be given back the ability to mine in the privacy of their own homes where the government has no right to stop them.

Ofcourse. Sometimes I wonder why much attention has been paid to the bolded part. In my opinion, clustering lots of miners on one or few places happened so quickly and at the wrong time. It could be considered a single point of failure.
The Bitcoin Network should be encouraging properly distributed/decentralized mining to help in securing the Network. Once a Network is losing is decentralization, you could be right if you think it's becoming less secure. By the way, other Blockchain Principles are affected once a cryptocurrency start losing it's decentralization.

The only reason centralized organizations/companies appear safe is because we don't know much about what they do in secret, and they are kind of protected or are not too bothered by governments once they are licensed

[pooya87]

There is no increase in output in sight anywhere, it is impossible to increase that overnight,

I never claimed it will be increased overnight! Considering the electricity production has nearly doubled over the past 4 decades in Iran, another 35% increase specially now that Iran's nuclear program is not limited anymore and new plants are being opened up, is not that big.

And again as in the last months, you want me to believe a random guy on the internet and not an official statement by the spokesman of that country. Sorry, but how about no! 

Well you could use google. The dispute over payment is a very long one. Just 3 days before the export cut, Iraq was "promising" to pay long overdue payments which they didn't pay until the export stopped. I don't know where the dispute is at right now.
This is not the first or only case either. e.g. In 2020 it was "gas bill" https://www.bloomberg.com/news/articles/2020-12-27/iran-and-iraq-to-discuss-unpaid-bills-resuming-normal-gas-flows
There are more cases of export cuts as the unpaid bills pile up.

FYI Iraq is currently withholding $6 billion of Iran's money.

If we talk about Iran we talk about Iran

Actually all 3 incidents was about Iran and all 3 also involved some of the "toys" you mentioned which is why I brought it up.

[stompix]

Well you could use google. The dispute over payment is a very long one. Just 3 days before the export cut, Iraq was "promising" to pay long overdue payments which they didn't pay until the export stopped. I don't know where the dispute is at right now.

Bruh...
You realize your article is older than mine?  
The crisis came after that, not the other way around.
Also again, you're showing me the so-called proof, and guess where that leads to:
Just 3 messages ago you told me:

Besides during this time some of the exports were ceased or decreased because of lack of payment (despite what the article said).

Now you quote an article that mentions the PM saying:

"Tehran has not neglected to export electricity and gas to Iraq,” Mustafa Al-Kadhimi made the remarks in an emergency meeting with governors in which members of the Electricity Crisis Resolution Committee were also present, Al-Manar and Baghdad Al-Youm (Baghdad Today).

Also:

Iranian Energy Minister Reza Ardakanian said on Wednesday that Iraq owes Iran the money for less than two months of electricity imports and the rest of the dues in this sector have been settled, IRIB reported.

So again, who am I going to believe, one prime minister and one energy minister...or you?
Nope, not going to happen.

[FanEagle]

You said something about if they are able to ban Bitcoin or regulate it in the Europe, then that means that bitcoin’s ecosystem is weak?In a way that seems accurate, and the community should look into it. This is Bitcoin mining that we’re talking about here, and the government trying to ban it. These days cryptocurrency is being mined by big companies, because it has gotten difficult to the extent that it cannot be mined by individuals just in their homes.

So, now we have to rely on big companies, and these companies in most countries they have to obtain a permit from the government to be able to run this kind of huge operation that will consume lots of energy. So, it’s always easy for the government to track down these companies and shut them down if they want to.This is like a fault in Bitcoin and it kind of weakens the system, because the government is able to shut down the mining companies. Maybe if it were still easy for individuals to continue mining it from the comfort of their homes, then it wouldn’t have been like this.

[ALLON2017]

Bitcoin is really just a popular shitcoin , that’s all nothing more. It’s similar to many other coins which have been classified as shitcoins because they aren’t popular. Even though some have good projects

[Stalker22]

Bitcoin is really just a popular shitcoin , that’s all nothing more. It’s similar to many other coins which have been classified as shitcoins because they aren’t popular. Even though some have good projects

People are said to become poor because they make bad decisions. What do you think, is there any truth in that?

O course it can drop below 5k probably not zero , anyhow , I got a gut feeling the the whole crypto markets going to crash soon, all the Alts are so over valued it’s ridiculous,

Definitely a bad call. Instead of going with your gut, use your brain next time.

[yazher]

Sweden's planned ban on Bitcoin mining in the European Union is not a weakness of the Bitcoin ecosystem, all of this is simply because Sweden is weak in making regulations that accept bitcoin and Sweden may deliberately ban cryptomining so that Bitcoin prices can fall.

It won't affect us we can see what was happening with the banning of bitcoins in China, it didn't give a change to the flow of the market and that's what they have really wanted to make. They wanted to cause something outrageous that will ruin the economy of the crypto market. But as we can see, a powerful country like China can't do anything with it. so what about Sweden? they can suggest what they want, at the end of the day we are the ones who will take benefit from it.

[Wind_FURY]

It was Iran. Plus the U.S. and Kazakhstan.

Actually most of them moved to Kazakhstan. Iran had a nice hash rate before the China ban. In fact during Trump era Iran included bitcoin in their annual budget to be used for imports/exports too but everything about Iran's international trades is kept under wraps (unless it is with another sanctioned nation or China) so we don't really know the real values.
By my estimates according to some reports of energy consumption and the taxes, I believe Iran currently has a little less than 20% of the total hashrate and that is growing fast.

Keep in mind that electricity in Iran has always been dirt cheap (0.002 $/KWH), a lot less than China.

I believe if the potential advantages for HODLing Bitcoin is truly understood by these countries with “dirt cheap” electricity, the government themselves would be setting up their own mining farms. The advantages will be understood, after realization that the inflation seen all around is irreversible.

[oHnK]

Whatever the government does will always side with fiat because of their own interests with the alibi of protecting the public from scams.  In the future, it will be difficult for people to do mining with restrictions on mining permits which will certainly be issued by the government.  Another thing, I think in the future this mining can only be done by the government and certain people, because here it has a very large profit.  Even if the government is aware.

[Zilon]

That is a good point to discuss. I am always wondering why government is trying to stop such operations if they know very well they getting paid for the electricity bills and also getting the taxes whenever miners sell the crypto for fiat. The whole ecosystem is properly managed by self driven moves. There is no hiding of the assets as long as miners are selling it for the fiat currency and when the money is deposited in the bank accounts.

What I mean is simple, there is no illegal activities as such as long as we are mining and giving back what is government entitled for (taxes).

No one should convince you that the government will be completely in support of Bitcoin mining someday. The government loves to be in charge of what ever their citizens do and would always like to know how much of it is in circulation and who owns which and since it's becoming a challenge to keep stock of this in Bitcoin they are trying hard to track down the mining process so they can get a fraction of regulation on Bitcoin. If the high power consumption on Bitcoin mining can be reduced I think we would help curb this challenge

[worldofcoins]

Banning Bitcoin mining from a specific jurisdiction is really a weakness of the Bitcoin ecosystem? Bitcoin mining wouldn't depend on only a jurisdiction, what happened when China banned Bitcoin ban? Nothing, it's just an impact on Bitcoin price for a small time. But didn't affect on overall Bitcoin ecosystem. A few jurisdictions will ban and a few jurisdictions will allow. That's what ecosystem.

China dislikes decentralization as a whole.
They didn't go this only with Bitcoin but there's another huge firm owner of China who launched a payment system and faced huge problems by the Communist party. There are things that are out of your control in china and many other nations they want to lead the people in a certain way and dislike the idea of their control being challenged by any Payment Gateway Or Bitcoin.

So it's natural they ban it.

[coupable]

Whatever the government does will always side with fiat because of their own interests with the alibi of protecting the public from scams.  In the future, it will be difficult for people to do mining with restrictions on mining permits which will certainly be issued by the government.  Another thing, I think in the future this mining can only be done by the government and certain people, because here it has a very large profit.  Even if the government is aware.

After the last halving, and if you can check updated news about mining farms, you should had been notified about how many small farms shut down their mining activities and some had just changed the whole concept of the company. Mining is already reserved for some big companis an few solo miners who should have hash power of one of those companies to get benefits from their activities.

[bbc.reporter]

This is the latest news from Kazakhstan and it appears that their government did not have the need to ban mining hehe. It was the miners that shut down their farms by themselves. I speculate in some areas in China, it would be a similar situation if there was no ban.

In any case, Kazakhstan‘s government is encouraging the miners to create an independent renewable capacity. This appears to be another chance for Tether, Bitfinex, iFinex to issue bonds and do another project similar to their geothermal energy project in El Salvador.



Mining in south Kazakhstan is no longer possible, Xive co-founder Didar Bekbau said.

Crypto mining company Xive shut down a 2,500-rig mine in South Kazakhstan due to lack of sufficient electricity supply from the national grid, co-founder Didar Bekbau told CoinDesk on Wednesday.

Kazakhstan has been grappling with electricity shortages, partly caused by an influx of crypto miners from China. The southern part of the country is particularly vulnerable as the region lacks abundant electricity generating plants and the national grid cannot reliably transfer electricity from the energy-rich northern region.

Crypto miners, like Xive and Enegix, have been facing electricity issues since September due to rationing from KEGOC, the national grid operator. KEGOC did not immediately respond to a request for comment.
Xive is preparing a new site for the over 2,500 machines, but “it is clear that mining in south Kazakhstan is not possible anymore,” Bekbau told CoinDesk.

Recently, the government said it wants to encourage crypto miners to develop independent renewable energy capacity. The industry hopes that after Kazakhstan expands its renewable electricity capacity in the next one-two years, the limit might change, Sapar Akhmetov, chairman of the board of the Kazakhstan Association of Blockchain Technology told CoinDesk.

Source https://www.coindesk.com/business/2021/11/24/crypto-miner-xive-shuts-down-south-kazakhstan-mine-due-to-electricity-woes/

[dsgfjhsdg]

The fluctuation of bitcoin price and the different transaction speed require people to be aware of network security, but there are many more people who do not know the existence of bitcoin.
But the Bitcoin system is constantly updated and developed.