Silk Road forums

Discussion => Off topic => Topic started by: pikKA on October 04, 2012, 12:19 pm

Title: The reward for mining Bitcoins will drop from 50 to 25 in a couple months
Post by: pikKA on October 04, 2012, 12:19 pm
My question is, will this have a big effect on the valuation of the Bitcoin? Will prices dramatically go up worldwide? Will there be less miners overall because there is less incentive? Or am I thinking about this all wrong?
Thank you to anyone who replies.
Title: Re: The reward for mining Bitcoins will drop from 50 to 25 in a couple months
Post by: Meatgrinder on February 08, 2013, 02:20 am
Old thread is old...

Does anyone here actually mine bitcoins?
Title: Re: The reward for mining Bitcoins will drop from 50 to 25 in a couple months
Post by: astor on February 08, 2013, 03:26 am
At least we can definitively answer that question now.

No.

The value of bitcoins is determined by the supply-demand ratio, which effectively means the amount of buying and selling on the exchanges. It has nothing to do with mining difficulty or rewards. Mining difficulty protects that bitcoin network from being compromised by bad actors (Cf. 51% attack). Mining rewards influence the mining difficulty, since they are an incentive to mine. But neither of these things affects the value of bitcoins.

Title: Re: The reward for mining Bitcoins will drop from 50 to 25 in a couple months
Post by: Fallkniven on February 08, 2013, 12:34 pm
is mining coins actually viable and or profitable in any way? taking into account costs like electricity and hardware?
Title: Re: The reward for mining Bitcoins will drop from 50 to 25 in a couple months
Post by: MagicMan on February 08, 2013, 04:30 pm
Quote from: Fallkniven on February 08, 2013, 12:34 pm
is mining coins actually viable and or profitable in any way? taking into account costs like electricity and hardware?

Yes it is both viable and profitable or else no one would be doing it.
Title: Re: The reward for mining Bitcoins will drop from 50 to 25 in a couple months
Post by: astor on February 08, 2013, 05:35 pm
Quote from: Fallkniven on February 08, 2013, 12:34 pm
is mining coins actually viable and or profitable in any way? taking into account costs like electricity and hardware?

https://blockchain.info/charts/miners-revenue

https://blockchain.info/charts/miners-operating-profit-margin
Title: Re: The reward for mining Bitcoins will drop from 50 to 25 in a couple months
Post by: murderface2012 on February 09, 2013, 05:29 am
i still mine for coins.. and it adds up!!
especially when your electricity is free, and your mining rig looks like a tweaker's horrible science project gone wrong!!  :P
and my hash rate is a trade secret so we won't go there!!  ;)