Bitcoin crash coming?

[svandamme]

Originally Posted by sugarwood

Why do you think miners stopping would cause a crash? Selling causes a crash. Or if the exchanges vanish like Gox. Crypto Beenie credibility is now over. It will crash when there is a "bank run" and the exchanges have no liquidity.

the entire system cannot run if nobody mines.
who will track all the transactions?? there's no central bank that runs a data center, that's the entire story bout Crypto, that it is decentralised ... the miners are that datacenter..

if they loose incentive, and stop mining, then crypto dies with them.

[svandamme]

Originally Posted by Bill Douglas

I don't think it will completely crash. The international drug rings, money launders and scammers are such big users of the system; they will keep it going well.

Which is why it will get banned in the end.

[stevej37]

Coinstar is still thriving.
I used it last week and broke even.

[KFC911]

Originally Posted by stevej37

Coinstar is still thriving.
I used it last week and broke even.

I don't accumulate pocket change like I did for decades.... but I'm too much of a cheap bastid to let Coinstar have their cut. My CU provides a free coin counter in the lobby at one location. On three occassions I've taken in well over $1K in coins ...cha-ching ! If you've got a bunch... your CU/bank will likely count them for you.... gratis.

[stevej37]

If you choose a gift card or credit for the store where the Coinstar is at....there is no cut.

Gotta love the cha-ching sound while your money is piling up.

edit: the machine spits back the canuck coins.

[p911dad]

Originally Posted by red-beard

Here is a chart showing the cost per bitcoin depending on the cost of electricity.

https://powercompare.co.uk/bitcoin-electricity-cost/#:~:text=List%20of%20Electricity%20Cost%20Of%20Min ing%20One%20Bitcoin,%20%20%243%2C627.78%20%2074%20 more%20rows%20

At 5 cents per kWh, my cost would be similar to Uzbekistan at $4,245.28 per bitcoin. I'm not sure if this includes the cost of the equipment. And more modern equipment will produce bitcoin more efficiently than older equipment. Not sure if that is properly factored in.

I think the $22K per bitcoin is off.

Towards this point, I was approached to help build mining buildings for use in Canada. There is associated gas that is flared because it is impossible at this time to get it to market (no gas pipelines). This was also going on in the Permian, but they have now built pipelines since gas is over $7 MMBTU.

The cost to make electricity with "free" associated gas is about 3.5 cents per kWh. The cost of a remanufactured genset (1.6MW) is under $500K. The bitcoin system to use ~1.6 MW dwarfs the genset.


Bitcoin Mining Calculator

Using the above calculator, this system should generate $62,406.22 per day. Availability is about 97% for the gensets. It should generate $22,094,922 per year. At $6M for the rig, it should pay for itself in about 125 days

Greenridge Generation recently bought and started operating a shuttered 44 MW power plant in Central NY State with the express purpose of powering their 23,000 mining machines and selling the excess power to the grid. Free market in action. How this affects the coin industry I have no idea but this is an interesting hedge. "Blockchain resources for the future" is their slogan.

[KFC911]

Rut-roh ....

"It's probably just an afternoon thunderstom..." - Noah

[KFC911]

I just saw a quote for an exchange that has halted Bitcoin transactions ... the CEO in attempting to alleviate fears says....

"Funds are SAFU" .... intending to use an acronym that conveys they are "safe"....

Mebbe he's never heard of SNAFU before

[red-beard]

Originally Posted by p911dad

Greenridge Generation recently bought and started operating a shuttered 44 MW power plant in Central NY State with the express purpose of powering their 23,000 mining machines and selling the excess power to the grid. Free market in action. How this affects the coin industry I have no idea but this is an interesting hedge. "Blockchain resources for the future" is their slogan.

The issue is the investment in the Mining equipment. It can pay itself back in a short (3 months) period of time and be cash flow positive in 3 months. Even at 1/4 the Bitcoin price ($27K), you pay the equipment back in 12 months.

Honestly, my biggest issue here is if you are setting up the gen-sets from scratch, you'll need a fuel source that is cheap and you need to get all of the permits. County construction permits are easy. The problem is cheap fuel and the air-permit.

[KFC911]

The "issue" might be a "BIT" more flowery ... good gawd what a freefall today. It's not through either.... below 21K. The fragility of a tulip ... and just as valuable ... eventually.

[gordner]

Nope, a tulips value never hits actual zero where crypto can.

[svandamme]

not entirely true, after the Tulip Mania the bulbs did hit zerovalue because of zero demand.
If you had a tulip bulb you could not sell it as nobody would pay for it.
That , de facto means they have hit zero value.
Couldn't eat em.
Couldn't sell em.
all you could do is plant em

it's only slightly better then just throwing em in the bin, because if they came out you had a flower. But you had no money . People didn't buy flowers in those days

You could get a flower back, not money.

[gordner]

Fair enough, but at least the flower was tangible. A tulip was never worth less than a tulip, cause it at least exists. Even at zero, you had a flower.

[svandamme]

for few weeks, then it withers.

[gordner]

and then again next year, given that they are perennials.

[93nav]

Originally Posted by gordner

and then again next year, given that they are perennials.

Botany, really!?!?! Can we get back on topic of crypto's crashing and the end of the world?

[Paul T]

Remember when people were claiming BTC was a good inflation hedge? LOL….how’s that working out?

[sc_rufctr]

[Z-man]

Originally Posted by Paul T

Remember when people were claiming BTC was a good inflation hedge? LOL….how’s that working out?

When people need funds, they cash out their investments. Crypto isn't impervious to this notion.

Now the question becomes: when does Bitcoin & co bottom out? Will it bounce back up again, and how long will it take? (Translation: is now a good time to invest in BTC?)

[nota]

I like little bit coins
real coins USA silver small change dimes quarters and 1/2's

bet they never go near zero
even worse case total disasters

how much is a BIT coin worth when there is NO POWER grid

heck ever copper has value these days