Bitcoin mining is a trust machine, not energy waste.

[Joy- maker]

HAPPY NEW YEAR TO YOU ALL

First of all I don't know if this thread actually suit in here,  am posting here instead of the mining board,  because the people I engaged in an argument with concerning Bitcoin mining not being energy waste, instead a trust machine are Nigerians, and I believe some Nigerians still  have same mentality that Bitcoin mining is energy waste.
So after having that argument with those guys few days back, I came to understand that Bitcoin mining is often misunderstood as energy waste, but in reality it is better will discribe it as a trust machine instead of energy waste.

Firstly, the real problem Bitcoin solves is trust: as we all know in our own traditional systems trust comes from middleman, which are banks, government and lastly payment processors. That this junction you must trust this middleman I just mentioned, not to change records, not to freeze your money, not to print money unfailly and lastly not to reverse transactions.  thank you Satoshi Nakamoto for creating Bitcoin because Bitcoin removes this dependency on middlemen,  and to answer this question,  "how do you replace trust in people with trust in math"
This is exactly the point where miner's comes in, Bitcoin mining is a verification and security process,  Miner's verify transactions, group them into blocks and compete to add the next block to the blockchain.
And for miner's to be able to do this they must perform real world work (electricity + computation) and it's called proof of work (POW).

Secondly why energy is required, and why that's the point: energy is required because it makes cheating expensive, because for someone to be able to rewrite Bitcoin's history the person will need vast amount of power, huge mining hardware, and lastly to outcompete with honest miner's worldwide. Making fraud economically irrational (cost is higher than the benefit).

Thirdly mining turns energy into truth: mining turns energy into truth,  because onces a block is mined transactions becomes immutable,  nobody can be able to change them,  and no government can be able to reverse them as well.  So you see why Bitcoin mining is not energy waste,  it  replace people trust with trust in math,  "Mining converts electricity → cryptographic proof → public truth" that is why Bitcoin it is called a trust machine.

fourthly why energy waste is a misunderstanding argument: as we all know people hardly call it energy waste when bank's runs thousands of offices in a country, when bank's ATM machines runs 24/7. But when it comes to mining Bitcoin they call it energy waste, because it consume vast power to tell you guys how bias human being can be.

Last but not the list,  Mining aligns incentives globally: Bitcoin mining makes people all over the world to benefit From following the same rules,  so if you Play fair,  you earn rewards for your honesty,  and if you try to cheat you loose money for  trying to play smart,  all your efforts and resources wasted no gain.

[adultcrypto]

I don't think I have read anywhere about mining being related to wastage of energy, what I have read and know is that mining consume energy just like operating industrial machines. This is truth, mining requires energy which is why the cost of energy is a major factor in the calculation of the profitability of a mining farm. The argument I have heard against mining are related to environmental challenges posed by mining activities which we all know that are conspiracy theories to frustrate the business.

[Obim34]

Hmmm... I'm confused by your explanations concerning mining Bitcoin. If you studied mining in such a complicated tone, I'm sure you won't get the knowledge you have.

Miners mine Bitcoin for profits, it's a business to them, by all means, the actual incentive is to make profits while in return helping the blockchain, it was programmed that way, if there were no rewards for miners, I'm sure we would have fewer or less active miners.

Bitcoin mining is not energy waste, miners pay the cost of operation, and in turn profit from mining.

[Joy- maker]

Hmmm... I'm confused by your explanations concerning mining Bitcoin. If you studied mining in such a complicated tone, I'm sure you won't get the knowledge you have.

Miners mine Bitcoin for profits, it's a business to them, by all means, the actual incentive is to make profits while in return helping the blockchain, it was programmed that way, if there were no rewards for miners, I'm sure we would have fewer or less active miners.

Bitcoin mining is not energy waste, miners pay the cost of operation, and in turn profit from mining.

Obim34,  Bitcoin mining was never a business idea,  rather bitcoin mining is the engine of trust system. Bitcoin mining was created to secure the network and remove the need for trust in people.  See Obim34 the main purpose of mining is to validate transactions, to make sure no one cheat or double spend. To secure the Bitcoin network with the use of cryptographic and computation. To issue Bitcoin in a fair,  and productive way,  and  lastly to replace trust in human,  with trust in math.
It was later mining become a business, because miner's are rewarded with Bitcoin for mining a block,  so as for the rewarding aspect, let's assume Satoshi made it that way to keep miner's mining,   because assuming there was no reward for mining Bitcoin trust me nobody will be mining Bitcoin till today,  except for those who just want to genuinely mined Bitcoin,  even if there is reward coming in.

[Obim34]

Obim34,  Bitcoin mining was never a business idea,  rather bitcoin mining is the engine of trust system. Bitcoin mining was created to secure the network and remove the need for trust in people.  See Obim34 the main purpose of mining is to validate transactions, to make sure no one cheat or double spend. To secure the Bitcoin network with the use of cryptographic and computation. To issue Bitcoin in a fair,  and productive way,  and  lastly to replace trust in human,  with trust in math.

Neither did Satoshi create Bitcoin with thoughts of Bitcoin becoming an investment, it was an alternative to the traditional banking system, the majority of enthusiasts in the market are here because of the profits behind Bitcoin investment.

The same goes for Bitcoin mining, you pointed out the sole reasons why Bitcoin mining exists, but the true incentives why we have enough miners are because of the rewards, you may not know, but when block rewards continue to get halved and mining operations become expensive, there will be fewer miners to continue operation, and the majority will close down.

[Btcdeybodi]

Obim34,  Bitcoin mining was never a business idea,  rather bitcoin mining is the engine of trust system. Bitcoin mining was created to secure the network and remove the need for trust in people.  See Obim34 the main purpose of mining is to validate transactions, to make sure no one cheat or double spend. To secure the Bitcoin network with the use of cryptographic and computation. To issue Bitcoin in a fair,  and productive way,  and  lastly to replace trust in human,  with trust in math.

Neither did Satoshi create Bitcoin with thoughts of Bitcoin becoming an investment, it was an alternative to the traditional banking system, the majority of enthusiasts in the market are here because of the profits behind Bitcoin investment.

You are very correct Obim34, many people started getting interested in bitcoin because of investment purposes and not due to the primary aim of its creator which was to stand as a decentralized means of payment alternative to the fiat currency. If bitcoin were to be ONLY a means of payment, a lot of people wouldn't have been interested in it.

The same goes for Bitcoin mining, you pointed out the sole reasons why Bitcoin mining exists, but the true incentives why we have enough miners are because of the rewards, you may not know, but when the block rewards continue to get halved and mining operations become more expensive, there will be fewer miners to continue operation, and the majority will close down.

Everyone wants a task they can earn rewards, if mining was to be a volunteer service without rewards, not many people would be interested in mining bitcoin but block rewards is what attracts miners and as it is halved at every halving events that is how miners will reduce and become uninterested.

[Bishop Victor]

HAPPY NEW YEAR TO YOU ALL

First of all I don't know if this thread actually suit in here,  am posting here instead of the mining board,  because the people I engaged in an argument with concerning Bitcoin mining not being energy waste, instead a trust machine are Nigerians, and I believe some Nigerians still  have same mentality that Bitcoin mining is energy waste.
So after having that argument with those guys few days back, I came to understand that Bitcoin mining is often misunderstood as energy waste, but in reality it is better will discribe it as a trust machine instead of energy waste.

Firstly, the real problem Bitcoin solves is trust: as we all know in our own traditional systems trust comes from middleman, which are banks, government and lastly payment processors. That this junction you must trust this middleman I just mentioned, not to change records, not to freeze your money, not to print money unfailly and lastly not to reverse transactions.  thank you Satoshi Nakamoto for creating Bitcoin because Bitcoin removes this dependency on middlemen,  and to answer this question,  "how do you replace trust in people with trust in math"
This is exactly the point where miner's comes in, Bitcoin mining is a verification and security process,  Miner's verify transactions, group them into blocks and compete to add the next block to the blockchain.
And for miner's to be able to do this they must perform real world work (electricity + computation) and it's called proof of work (POW).

Secondly why energy is required, and why that's the point: energy is required because it makes cheating expensive, because for someone to be able to rewrite Bitcoin's history the person will need vast amount of power, huge mining hardware, and lastly to outcompete with honest miner's worldwide. Making fraud economically irrational (cost is higher than the benefit).

Thirdly mining turns energy into truth: mining turns energy into truth,  because onces a block is mined transactions becomes immutable,  nobody can be able to change them,  and no government can be able to reverse them as well.  So you see why Bitcoin mining is not energy waste,  it  replace people trust with trust in math,  "Mining converts electricity → cryptographic proof → public truth" that is why Bitcoin it is called a trust machine.

fourthly why energy waste is a misunderstanding argument: as we all know people hardly call it energy waste when bank's runs thousands of offices in a country, when bank's ATM machines runs 24/7. But when it comes to mining Bitcoin they call it energy waste, because it consume vast power to tell you guys how bias human being can be.

Last but not the list,  Mining aligns incentives globally: Bitcoin mining makes people all over the world to benefit From following the same rules,  so if you Play fair,  you earn rewards for your honesty,  and if you try to cheat you loose money for  trying to play smart,  all your efforts and resources wasted no gain.

Bitcoin mining is not pointless energy waste—it is the mechanism that makes Bitcoin trustworthy, secure, and fair without relying on banks or governments.

[Osiokwudiri]

Bitcoin investment is all about potential risk. Although it may be safe at Bitcoin environment . As for banking system they tangled there agreement assets but Bitcoin is trustless.

[Cryptohygenic]

I don't think I have read anywhere about mining being related to wastage of energy, what I have read and know is that mining consume energy just like operating industrial machines. This is truth, mining requires energy which is why the cost of energy is a major factor in the calculation of the profitability of a mining farm. The argument I have heard against mining are related to environmental challenges posed by mining activities which we all know that are conspiracy theories to frustrate the business.

I agree with you and I been dey even think if  Op go ask the house of who dey right among themselves for the argument with em friends instead to conclude with wrong fed information about the energy course of bitcoin mining com become a major concern about to keep the blockchain secured and processing every of the transactions and hashing to mine new blocks with today's hardship and cost expensive on mining bitcoin requires steady energy supplies with the very high energy consumable mining tools.
I have either not had experience with such argument with his friends about mining.

[DPHOR]

I don't think I have read anywhere about mining being related to wastage of energy, what I have read and know is that mining consume energy just like operating industrial machines. This is truth, mining requires energy which is why the cost of energy is a major factor in the calculation of the profitability of a mining farm. The argument I have heard against mining are related to environmental challenges posed by mining activities which we all know that are conspiracy theories to frustrate the business.

Me self neva even comes across where them say na wastage of energy, and in fact e get people wey still dey source for energy to keep their mining pool running smoothly, but if you take for instance say that energy wey you dey consume say you dey pay for am, you go see say you end up paying enough money just to mine bitcoin, na why people dey always look for where them go get free energy or renewable energy just to keep their business even self na why some people dey use thermal energy or solar energy to gain source of power to enable them run their mining pools especially there are company that love installing all these thing that I mention without overly depending on general supply.