What would happen if ASIC on Scrypt chain?

[JoelKatz]

ASIC on scrypt would just destroy the purpose of its invention, to make it profitable for CPU users. So, if they produce in large quantity and starts selling them, scrypt would not be profitable for CPUs.

I think we can pretty much reason out now that that's impossible to sustain. If it's profitable to mine on CPUs, then more and more people with CPUs will mine. This will continue to occur, raising the difficulty, until it becomes unprofitable for most people with CPUs to mine. Then only those people whose circumstances make them especially efficient miners, such as a very low cost of electricity, will find mining profitable. This is an inescapable economic reality.

[matt608]

It would actually be very beneficial for Bitcoin if a scrypt ASIC was made and used to attack the alts, they could all be destroyed!

[Epinnoia]

It would actually be very beneficial for Bitcoin if a scrypt ASIC was made and used to attack the alts, they could all be destroyed!

I think you might be exactly wrong on that.  Bitcoin benefits greatly from the alt market. 

[Leehoya]

ASIC on scrypt would just destroy the purpose of its invention, to make it profitable for CPU users. So, if they produce in large quantity and starts selling them, scrypt would not be profitable for CPUs.

This assumes that the performance of a scrypt ASIC would be significantly better than the existing GPU miners on a hash/s/$ metric (perhaps also including power costs hash/joule). I see no evidence that this will be true, so the point becomes moot.

And in other news Alpha-Technology claim to be working on a scrypt ASIC. To say the least, I am sceptical.

However, if someone can design a efficient asic in the future, the difficulty will skyrocket like what happened to bitcoin. Highly impossible and i quite agree with your point but in the future, who knows? Maybe someone would come out with one.

[braytz]

you can't mine scrypt with a sha-256 asic