/biz/ - Business & Finance

[Anonymous No.6779756]

Listen up biz-fags

Bitcoin is a bubble and when it bursts we will witness the greatest loss of wealth since the 1920s.
-Blockchain however is here to stay!

Bitcoin is a commodity and is totally unusable as a currency. That's a fact.
Bitcoin is never going to be a global currency. Namely because the system is built up so that there are only 21 million bitcoins. The last bitcoin will initially be dug out in 2140.
Limitation in itself is an impossibility for a global currency. It is clinically impossible. You must always have money that is scalable depending on global economic activity.
In a way, people who buy bitcoin do it because they think they buy blockchain technology. It's a total wrong. They buy something idiotic built on the blockchain technology, which is amazing!

To make things worse, the bitcoin miners consumes 42 TWh each year which is equivalent with the power consumption of Denmark and New Zealand.
No matter how many miners there are, one can never mine more than 1800 coins each day (with the current reward schedule).
With a price of $11,000 the bitcoin network will end up consuming 145 TWh each year. To compare, the Nordic countries in Europe consume ~400 TWh each year.

1/2

[Anonymous No.6779781]

Every 4th years the bitcoin reward payouts are halved, the next halving being in June 2020.
This will create bigger competition amongst the miners and to compensate they will be arming up with more powerful mining equipment - which in turn leads to a bigger power consumption.
If the bitcoin price continues to climb, it will be more attractive to mine bitcoin.

This will make the power consumption increase proportionally with the price. If some of the predictions that the price of one bitcoin will reach $300,000 by 2020 comes true, the bitcoin network will consume as much power as the European continent!
Bitcoins valued at $300,000 will generate $197,000,000,000 in revenue each year from mining. The miner market will see a flow of new miners entering until all the profits are used to pay for the power consumption alone.

75-80% of all mining is based in China, resulting in massive burning of coal to power the energy required to operate the mining farms. The result is major CO2 emissions.
Local pollution is already a big problem in China, and this will only add to the effect.
In addition, the Chinese authorities are extremely negative the power supply in China is used for useless things in principle.
- If the people in Shanghai can't breath, the authorities will take action.

2/2

[Anonymous No.6779829]

>>6779756
your mom's a bubble

[Anonymous No.6779885]

so how do I invest in THE BLOCKCHAIN (tm)

[Anonymous No.6779940]

Investing in Crypto since 4 Years. Reading posts like this since 4 years. But I´m rich now and you still poor.

[Anonymous No.6779967]

>>6779781
I think we are seeing peak power consumption for bitcoin. How this fact will affect the price in future is unknown, but there barely is any more room for the expansion. The difficulty can only increase via better chip technology.

[Anonymous No.6779982]

>>6779756
>built on the blockchain technology, which is amazing!
Can someone please explain why blockchain technology is so awesome? In simple brainlet terms.

[Anonymous No.6779986]

>>6779781
funny how you just copy/pasted this from somewhere else while blindly believing that's how it plays out

[Anonymous No.6779989]

>>6779940
>rich
>can’t cash out your imaginary internet money

You are retard

[Anonymous No.6780032]

>>6779982
It basically allows digital form of physical object.
This means, you can basically store something digital that you control and nobody else can own it.

[Anonymous No.6780058]

>>6779756
>To make things worse, the bitcoin miners consumes 42 TWh each year which is equivalent with the power consumption of Denmark and New Zealand.
A country with 1/5th the worlds population ranging in the billions uses more energy than a tiny literally who island and scandinavian '''country''' that has a population barely bigger than your average city in America? Wow.

[Anonymous No.6780068]

>>6780032
Though, blockchain and cryptography itself does not provide this. Network security plays huge part on this. Blockchain is just the form of decentralized db, it's not actually important part of cryptocurrency, but /biz/ retards think so.

[Anonymous No.6780082]

>>6779989
>can't cash out

Retard

[Anonymous No.6780185]

>>6780032
Can you give some examples of how this would work for physical objects that aren’t coins? I thought blockchain was just an auditing system to show transaction history.

[Anonymous No.6780375]

>>6779756
>>6779781
That's less than 1% of China's power consumption.

Also
>what is improved processing efficiency

[Anonymous No.6780399]

>>6780185
I didn't mean it that literally. Think of it more like the network security gives your digital thing the attributes of a physical object.
>It's yours, nobody elses
>You choose how to store it
>It can't be duplicated or faked

Blockchain itself is yes, just transaction history. It can be modified by anyone, but the network security (aka confirmations) are there to make sure no fraud happens. That's why 51% attack is a thing.

So instead of trusting one of the few central parties to hold your asset, or even when you decide to use it (perform your transaction for example), you only trust this network. This is where the real value of cryptocurrency comes from, and not just for digital money.

[Anonymous No.6780450]

Quality fud

[Anonymous No.6780722]

>>6780399
Isn’t the whole blockchain process overly slow and unwieldy? It seems to take forever to update wallets due to massive syncing of files. And relatively speaking hardly anyone is using crypto right now the way they use fiat. Not sure how that level of scale will be achieved.

[Anonymous No.6780872]

>>6780722
If you understood how banking works, it's actually even slower than cryptocurrency. Reverses for fast transaction systems such as VISA hide these for you. If you've ever send money from your bank to overseas you would realise how slow the system actually is under the hood. Blockchain is just one form of decentralized datastructure, git and ipfs for example uses dag and torrents uses dht. You would have massive filesize problem even with centralized system, since you have to store every transaction. The cryptocurrency is really only about decentralization as central systems always scale worse, are single point of failure and can become corrupt.

One of the things I've been actually thinking about is that maybe BTC's base value is actually linked to the costs of doing PoW to mine single BTC.

[Anonymous No.6780908]

Biz fag don't understand.
Price of bitcoin changes every fucking seconds. Transaction takes ages to complete. if you are using bitcoin is true decentralized way it will need 100+GB and shit tons of sync.

Blockchain is still a retarded inefficient database system. It does what database like mysql can do - but only in retard way.

Most here are into crpyto because they believe it will moon someday. They haven't bought anything with it and probably have wallet in some site like coinbase.