NOTHING have changed? Think again. You've all seen this but nobody understands??

[NationOwnedCCNow]

http://blockchain.info/no/charts/hash-rate

This has changed. The low hashrate of november made the network vulnerable to a 51% strike, which caused the chinese/investors to pull back and wait for a better more secure time to invest. That is now and they are doing it this very moment.

[TERA]

no

[NationOwnedCCNow]

no

You don't understand? The harsh rate is the "infrastructure" the winklewoss was talking about to get ready in the "next 6 month" in nov/dec.

[frienemy]

no

You don't understand? The harsh rate is the "infrastructure" the winklewoss was talking about to get ready in the "next 6 month" in nov/dec.

*facepalm in progress*

[hodlmybtc]

Trolololol

[piramida]

yes, hash rate = strength of the network = more capital can be stored. you would not want to transfer a million dollars over a network supported by a 100k dollar infrastructure - because it could be easily overpowered and your money just gone.

50 petahash network, on the other hand, costs about 500 million dollars at the current tech levels. It allows you to invest and transfer millions safely, without worrying about all but the most powerful attackers.

[NationOwnedCCNow]

yes, hash rate = strength of the network = more capital can be stored. you would not want to transfer a million dollars over a network supported by a 100k dollar infrastructure - because it could be easily overpowered and your money just gone.

50 petahash network, on the other hand, costs about 500 million dollars at the current tech levels. It allows you to invest and transfer millions safely, without worrying about all but the most powerful attackers.

Exactly. This is common knowledge though right? Why doesn't People understand that this is what made the chinese pull the break in nov/dev? I bet there is an arms race going on right now and its all about making sure you can either Control the network and make it safe for Your Money or to collaborate With a network of big mining Companies.

[c0ldfusi0nz]

I'm with TERA on this one. The answer, quite simply, is "no."

Longer version: claiming that of the multitude of factors that affect the exchange rate, only the hash rate of the network matters: sheer ignorance.

[piramida]

I'm with TERA on this one. The answer, quite simply, is "no."

Longer version: claiming that of the multitude of factors that affect the exchange rate, only the hash rate of the network matters: sheer ignorance.

I don't see anybody on this thread claiming that.

[de3mka]

More hashrate doesn't make the network automatically less vulnerable to a 51% attack, but the distribution of hashpower does.
If I build a new pool and attract more than half of current miners to use my pool, I don't care what the hash rate is. So your point, OP, is not valid.

Under "the infrastructure" they really mean adoption (places to accept the currency, payment processors, ATMs, etc..), not the hashrate.

[bitcoinsrus]

http://blockchain.info/no/charts/hash-rate

This has changed. The low hashrate of november made the network vulnerable to a 51% strike, which caused the chinese/investors to pull back and wait for a better more secure time to invest. That is now and they are doing it this very moment.

I think Op is confusing a few things.  I have not checked but lets assume hashrate in november was low.  It may or may not have been vulnerable.  But I do not think it caused the chinese investors to pull back (security issues).  Happening now?  I dont think so.

Op probably means well but seems to be confused.  Op read coindesk or search google news and then search bitcoin on there to find articles.

[NationOwnedCCNow]

http://blockchain.info/no/charts/hash-rate

This has changed. The low hashrate of november made the network vulnerable to a 51% strike, which caused the chinese/investors to pull back and wait for a better more secure time to invest. That is now and they are doing it this very moment.

I think Op is confusing a few things.  I have not checked but lets assume hashrate in november was low.  It may or may not have been vulnerable.  But I do not think it caused the chinese investors to pull back (security issues).  Happening now?  I dont think so.

Op probably means well but seems to be confused.  Op read coindesk or search google news and then search bitcoin on there to find articles.

 I don't have details of stuff but Im pretty sure im right on this one.


Hash rate/distribution of hash rate, whatever mate. You know what im talking about(and that is, once again, SECURITY from a 51% strike).


And Yeah I'm not saying Hash rate is the first and only thing that decides the Exchange rate. But once again: If it is undeveloped, as it was in november, someone can easily "take over" the network.

I am btw assuming Bitcoin is a weapon(my other thread, just try the idea in Your head for a sec) and that the chinese investors are far more coordinated than you fanboys think.

Do you guys here on spec Board have good knowledge of the ASIC miners and stuff like that? Because, I'm pretty sure that stuff and the Technology is far, far, faaaaaaaaaar more important than you realize. If you have the best Technology you have a huge advantage. Compare old to special developed ASICs.

[serenitys]

Are you saying you think the facebook twins are intending to do it?

[zimmah]

Actually it's the other way around.

High bitcoin price => mining is more profitable => more miners

Hashrate follows price, but price does not follow hashrate.

[TERA]

no

You don't understand? The harsh rate is the "infrastructure" the winklewoss was talking about to get ready in the "next 6 month" in nov/dec.

I do understand, and I refute. Based on the timing of the Chinese crash, it had to do with the PBOC factor and not hashrate. Most Chinese investors don't even know what a 'hashrate' is and they just trade bitcoin because it is a shadow currency and they are a shadow currency trader in the trillion dollar Chinese shadow currency market.

Actually, the network has gotten weaker because now mining strength is concentrated into large corporations and pools, which could become compromised. The power of the hardware used is less relevant because governments could always buy whatever our current hardware is themselves and they have more money to do it. But why even bother to do that when they could infilitrate the people behind the corporations and pools or use a virus.

[NationOwnedCCNow]

Actually it's the other way around.

High bitcoin price => mining is more profitable => more miners

Hashrate follows price, but price does not follow hashrate.

http://bitcoin.sipa.be/speed-small-lin.png

Reality disagrees

[TERA]

Actually it's the other way around.

High bitcoin price => mining is more profitable => more miners

Hashrate follows price, but price does not follow hashrate.

Reality disagrees

Can you point on out on this chart the proof for the causation effect between hashrate to price?