Positive Bitcoin write-up on Zerohedge

[solex]

http://www.zerohedge.com/news/2013-01-28/chart-day-ecb-responsible-second-coming-bitcoin?page=3

This attention will raise the profile of bitcoin for merchants and investors.

[1715641087]

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[1715641087]

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[bitstarter]

http://www.zerohedge.com/news/2013-01-28/chart-day-ecb-responsible-second-coming-bitcoin?page=3

This attention will raise the profile of bitcoin for merchants and investors.

Bitcoins time is just starting. This is only the beginning gentlemen.

[TraderTimm]

As of this post, the article has been read 9,952 times.

Update: As of 01/29/13 - it has been read 13,650 times - putting it on par with some of the more popular articles.

Really popular articles can net about three times that number, but for a short time span I think this is important. The overall tone is positive - with a few readers chiming in to point out the usual troll responses that center around "What if the internet explodes - no more bitcoin" and other sillyness.

A lot of financial people watch this blog. This is a big deal.

[tvbcof]

Nice work on that zerohedge thread Hazek.

[Spaceman_Spiff]

Update: As of 01/29/13 - it has been read 13,650 times - putting it on par with some of the more popular articles.

And probably 6000 of those are bitcoin enthusiasts such as myself refreshing the page to see the comments ...

[Bitcoinpro]

bloomberg and zerohedge together lol

[hazek]

Nice work on that zerohedge thread Hazek.

Thanks, I do my best.

[evoorhees]

"What if the internet explodes - no more bitcoin"

OMG I hadn't thought of that?!?  What if it DOES explode!?!?

[Gabi]

Not what you would call environmentally friendly.

I'll stick with Gold and Silver

Yeah because mining gold and silver is environmentally friendly?   Aaahhh these trolls

There are two problems with someone trying to take over the Bitcoin network:

1.) No one entity in the world has enough computing power to do it now. That chance has passed.

Lol? 10 millions $ and you have more than enuff computing power

[TraderTimm]

There are two problems with someone trying to take over the Bitcoin network:

1.) No one entity in the world has enough computing power to do it now. That chance has passed.

Lol? 10 millions $ and you have more than enuff computing power

The overlooked part of the 51% attack is you have to continually expand to maintain your advantage, making sure your blockchain is the longest verified one, and you can only do evil things with your own coins. It seems to me that between buying 10 million dollars worth of equipment or buying outright, you're probably better off sinking it into the system and getting the attendant yields.

There hasn't been an attack because it is really useless to do so right now. I imagine in some extreme scenario where someone is running an attack to punish bitcoin, most users would probably decide to upgrade their clients to patch out the offending actors if needed - assuming that the attackers could even maintain their majority, which I highly doubt.

[Spaceman_Spiff]

There are two problems with someone trying to take over the Bitcoin network:

1.) No one entity in the world has enough computing power to do it now. That chance has passed.

Lol? 10 millions $ and you have more than enuff computing power

The overlooked part of the 51% attack is you have to continually expand to maintain your advantage, making sure your blockchain is the longest verified one, and you can only do evil things with your own coins. It seems to me that between buying 10 million dollars worth of equipment or buying outright, you're probably better off sinking it into the system and getting the attendant yields.

There hasn't been an attack because it is really useless to do so right now. I imagine in some extreme scenario where someone is running an attack to punish bitcoin, most users would probably decide to upgrade their clients to patch out the offending actors if needed - assuming that the attackers could even maintain their majority, which I highly doubt.

I don't quite understand, what is to stop for example Paypal from buying a shitload of ASICs (or FPGAs should ASICs all be a fraud) and shut down the network by DOS?
I fear such an attack would severely undermine bitcoin user confidence, send prices really low, and undermine incentive for other miners to up their game by buying new equipment etc.
I don't understand how a client update could prevent this problem.  Wouldn't the attacker just upgrade too?  Is there a way to distinguish between attackers and "true" miners?  

I would love a good answer to this as together with scaling issues this is my main concern for bitcoin's survival and success.

[kiba]

I don't quite understand, what is to stop for example Paypal from buying a shitload of ASICs (or FPGAs should ASICs all be a fraud) and shut down the network by DOS?
I fear such an attack would severely undermine bitcoin user confidence, send prices really low, and undermine incentive for other miners to up their game by buying new equipment etc.
I don't understand how a client update could prevent this problem.  Wouldn't the attacker just upgrade too?  Is there a way to distinguish between attackers and "true" miners?  

I would love a good answer to this as together with scaling issues this is my main concern for bitcoin's survival and success.

Why attack it when you can join it?

[Spaceman_Spiff]

I don't quite understand, what is to stop for example Paypal from buying a shitload of ASICs (or FPGAs should ASICs all be a fraud) and shut down the network by DOS?
I fear such an attack would severely undermine bitcoin user confidence, send prices really low, and undermine incentive for other miners to up their game by buying new equipment etc.
I don't understand how a client update could prevent this problem.  Wouldn't the attacker just upgrade too?  Is there a way to distinguish between attackers and "true" miners?  

I would love a good answer to this as together with scaling issues this is my main concern for bitcoin's survival and success.

Why attack it when you can join it?

Because joining it can be risky because others can attack it.  And attacking it if you are part of a money-making business could ensure that you eliminate competition.

I am not saying this definitely will happen.  I wouldn't own bitcoins otherwise.  I just see it as a serious risk.

[notme]

I don't quite understand, what is to stop for example Paypal from buying a shitload of ASICs (or FPGAs should ASICs all be a fraud) and shut down the network by DOS?
I fear such an attack would severely undermine bitcoin user confidence, send prices really low, and undermine incentive for other miners to up their game by buying new equipment etc.
I don't understand how a client update could prevent this problem.  Wouldn't the attacker just upgrade too?  Is there a way to distinguish between attackers and "true" miners?  

I would love a good answer to this as together with scaling issues this is my main concern for bitcoin's survival and success.

Why attack it when you can join it?

Because joining it can be risky because others can attack it.  And attacking it if you are part of a money-making business could ensure give you a small chance for a large capital outlay that you eliminate competition.

I am not saying this definitely will happen.  I wouldn't own bitcoins otherwise.  I just see it as a serious risk.

FTFY

[Spaceman_Spiff]

I don't quite understand, what is to stop for example Paypal from buying a shitload of ASICs (or FPGAs should ASICs all be a fraud) and shut down the network by DOS?
I fear such an attack would severely undermine bitcoin user confidence, send prices really low, and undermine incentive for other miners to up their game by buying new equipment etc.
I don't understand how a client update could prevent this problem.  Wouldn't the attacker just upgrade too?  Is there a way to distinguish between attackers and "true" miners?  

I would love a good answer to this as together with scaling issues this is my main concern for bitcoin's survival and success.

Why attack it when you can join it?

Because joining it can be risky because others can attack it.  And attacking it if you are part of a money-making business could ensure give you a small chance for a large capital outlay that you eliminate competition.

I am not saying this definitely will happen.  I wouldn't own bitcoins otherwise.  I just see it as a serious risk.

FTFY

Care to explain why you give this a small chance?

[notme]

I don't quite understand, what is to stop for example Paypal from buying a shitload of ASICs (or FPGAs should ASICs all be a fraud) and shut down the network by DOS?
I fear such an attack would severely undermine bitcoin user confidence, send prices really low, and undermine incentive for other miners to up their game by buying new equipment etc.
I don't understand how a client update could prevent this problem.  Wouldn't the attacker just upgrade too?  Is there a way to distinguish between attackers and "true" miners?  

I would love a good answer to this as together with scaling issues this is my main concern for bitcoin's survival and success.

Why attack it when you can join it?

Because joining it can be risky because others can attack it.  And attacking it if you are part of a money-making business could ensure give you a small chance for a large capital outlay that you eliminate competition.

I am not saying this definitely will happen.  I wouldn't own bitcoins otherwise.  I just see it as a serious risk.

FTFY

Care to explain why you give this a small chance?

Bitcoin is the largest computing network in the world.  It would take multiple datacenters filled with hardware to pull off such an attack.  Just the electrical infrastructure needed for powering the hardware and cooling would make this attack very difficult to pull off.  Unless they can actually pull off >50%, they will only have a very small chance of maintaining the longest chain for any significant time period.  Sure, if you crack 50% you are good... unless a new client is quickly released with an IP blacklist (not even a complete blackout, just don't relay their blocks, or relay them with a delay).  If anytime in the months it would take to even start setting the hardware up the difficulty rises 10% you suddenly need 10% more capital before you can begin your attack.  Project on this scale can't be turned on overnight.

That said, at this size Bitcoin isn't a big enough threat to Paypal or anyone really for them to spend the capital.  By the time it is big enough to worry about, it will be too late.

[Gabi]

Sorry notme but you are totally wrong. A 51% attack is not so hard to do. As i said, it is pretty easy, with 10 millions $ you can buy all the hardware, infrastructure and hire enuff people to do it. Keep to expand it? Beh, after such attack the mining power will decrease, not increase.

You guys speak about profit, but a government have other reasons to destroy bitcoin

IP blacklist

Please, not the IP ban fail in 2013, you will blacklist no one, it take an instant to get a new IP

[Spaceman_Spiff]

So Gabi, do you own bitcoins?  If so, why?  Are there reasons to think no government or payment service provider will try to pull this off?

[notme]

Sorry notme but you are totally wrong. A 51% attack is not so hard to do. As i said, it is pretty easy, with 10 millions $ you can buy all the hardware, infrastructure and hire enuff people to do it. Keep to expand it? Beh, after such attack the mining power will decrease, not increase.

You guys speak about profit, but a government have other reasons to destroy bitcoin

IP blacklist

Please, not the IP ban fail in 2013, you will blacklist no one, it take an instant to get a new IP

Please break down that $10 million calculation for me.  I don't believe you.

[Gabi]

Not 10? Meh, 20 are enough? Remember that a government/bank/company has billions. For us poor guys a million of dollars is a lot, but not for them.

Mkay, current mining hash is 21 Th. With 2 7950 you can make a gighash. 200$ per card, 400$. Add 300$ to complete the computer, It is 700$ per gigahash. You can buy 21Th for like 15 millions $ and it would be like 21000computers. 10500 if you put 4 cards in a computer. You can put them in some buildings, add some millions. Some more millions for the staff, and we have done a 51% attack