Bitcoin Price Thread
- Thread starter Magna
- Start date
So I wonder if anyone wants to have a discussion about mining. I notice that Swan laid off a bunch of people yesterday, and they specifically also said that their mining division is shuttering.
I also notice that the fees have been incredibly low now at 4 sats/vbyte. I think this is good overall because lots of people can consolidate and reducing the UTXO set is actually very good for the network.
Plus, I guess this always happens after each halving from what I have learned. I personally don't like the direction of mining these days, and don't understand why so many miners go with these pools that actually seem to be doing more harm than good. I've seen Bitcoin Mechanic make good arguments about why the payment model for these pools is flawed, and yet, most mining power is run by these pools, which may even in the end be just one big pool. I also saw the Ocean mining had a huge drop in hashrate, so that sucks because they seem like they are doing the right thing.
Anyway... does anyone have some thoughts or comments? I used to follow Mike Alfred on Twitter but stopped because he seems too much like a jackass and I'm not sure about his morals anymore, and he kept pumping the miners, but they are clearly struggling right now. Maybe they will outperform bitcoin in the end, but only IREN seems to be doing well from the 5 or 6 I follow.
I also notice that the fees have been incredibly low now at 4 sats/vbyte. I think this is good overall because lots of people can consolidate and reducing the UTXO set is actually very good for the network.
Plus, I guess this always happens after each halving from what I have learned. I personally don't like the direction of mining these days, and don't understand why so many miners go with these pools that actually seem to be doing more harm than good. I've seen Bitcoin Mechanic make good arguments about why the payment model for these pools is flawed, and yet, most mining power is run by these pools, which may even in the end be just one big pool. I also saw the Ocean mining had a huge drop in hashrate, so that sucks because they seem like they are doing the right thing.
Anyway... does anyone have some thoughts or comments? I used to follow Mike Alfred on Twitter but stopped because he seems too much like a jackass and I'm not sure about his morals anymore, and he kept pumping the miners, but they are clearly struggling right now. Maybe they will outperform bitcoin in the end, but only IREN seems to be doing well from the 5 or 6 I follow.
yes they print fake money and pump the price up... You could say it's similar to the FED. But FED has authority by the government while Tether is a criminal organization.
Nothing could possibly go wrong there.
Media is reporting that Donald Trump will announce Bitcoin strategic reserves for the US... Come on, what could possibly top those news EVER???
There are no better possible news thus this is likely the top. And on top of that those are fake news. Government is looking to sell seized coins.
Nothing could possibly go wrong there.
Media is reporting that Donald Trump will announce Bitcoin strategic reserves for the US... Come on, what could possibly top those news EVER???
There are no better possible news thus this is likely the top. And on top of that those are fake news. Government is looking to sell seized coins.
I posted a video of the guy recently saying that Bitcoin mining is the dumbest business model they've ever come accross in their 15 years of operation.
Do you know who is a big investor in Bitcoin miners? Tether.
They are probably investing customer funds. They don't have the reserves.
Mining is not Swan's core business and shutting it down is only a consequence
Retail is not interested in bitcoin >$60k when they could have bought at $15k for many months 2 years ago, that is why google search trends for bitcoin is at the same level as during the bear market
13-F filings show who are the real buyers, pent up demand from over a decade of being kept out, plus corporations adopting a treasury strategy, i.e. SMLR, Metaplanet, Square, Mstr
Now billionaires are all signaling bitcoin maxis vibes, Mark Cuban, Michael Dell, Elon Musk back with laser eyes... citing global turmoil and geopolitical risks,
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Back to bitcoin mining, it is an extremely difficult business... it might have made sense with 0 interest rate, easy capital financial environment and low inflation, as it's a high-capital high costs large infrastructure business
Remember when Celsius started a $500M bitcoin mining operation and then doubled it up to $1B? Yea, that was BEFORE the halving,, now the costs and network hash and difficulty have shot up! and the rewards has been cut in half! the bitcoin mining income at 50% is brutal
And yet, you got El Salvador and Blockstream doing multi-billion $ volcanic mining operations and Blackrock buying up majority ownership on publicly listed bitcoin miners and nation states suspected of bitcoin mining, Russia and China, allegedly, why?
https://blockstream.com/mining/
https://stokr.io/featured-assets
If you have a large stash of bitcoins, like Blackrock, or OG whales, or a nation state, you would not want your transactions be censored like OFAC mining did a couple years ago, i.e. MARA
You would have the ability to mine the block yourself and confirm on the blockchain
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On a related subject which I mentioned before, is what I term bitcoin "farming"
not shilling my bag but as competition for capital investment vis-a-vis bitcoin mining, consider what MSTR is able to do using TradFi instruments able to acquire *farm* bitcoins
What kind of bitcoin mining operation will be able to mine over 200k bitcoins and at what costs and what timeframe?
That's a hypothetical question that is probably an impossible feat, given the availability of ASICs long lead time to production, competitors on the space, availability of energy, years of infrastructure build out
And you got MSTR on the other hand able to roll back time to borrowing costs of less than 1% not even the US is able to borrow at such low rates, and sell shares/equity to buy bitcoins like candies
no infrastructure build out, no years of waiting for ASIC's to be delivered, no energy costs
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And on another subject... speaking of competition for capital on the crypto industry we got stablecoin business
Tether producing $2B quarterly profits with 9 employees more profits than Goldman Sachs with 90,000 employees, able to splurge on buying bitcoins...
Some might say Tether is printing $$$$,
USDC must be jealous? I read Circle is planning to IPO, owned by Goldman Sachs, and Coinbase and other TradFi corporations Blackrock(?),
I bet that IPO will be very successful as investors think they are just as profitable as Tether, although for some reason the USDC marketcap has been stagnant like it's still in a bear market while USDT has quadrupled from bear market
I'm old enough to remember a fud campaign against USDT plus a public short position from the likes of Burry
I'm also old enough to remember a complete destruction of BUSD, a growing and successful multibillion stablecoin business from a US NY-regulated company Paxos
Oh, they dropped all charges, sorry about that, business destroyed
https://news.bitcoin.com/sec-withdraws-enforcement-action-against-paxos-busd-stablecoin/
I wonder if they are trying to eliminate competition to USDC?
Anyway, USDe synthetic $ doing very well, high growth success and does not need an IPO, lots of VC players involved,
There's lots of opportunities in the crypto assets, DeFi and stuff, a new global monetary network and financial system,
even though some ET posters would say everything is a scam and ponzi and a bubble a $2.5 Trillion industry
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This was the best part of your reply. This will really get orbit23 excited.... LOL... Its funny because even if they are printing tether to buy bitcoin, the actual $$$$ they are printing/collecting from Uncle Sam is 100% legit.Some might say Tether is printing $$$$,
I'm still in awe of this business model. Its kind of like what banks do as well, but on a much smaller scale. So many of us are getting nothing for our savings deposited in the bank, and yet the bank is easily earning at least 5% on it. For me personally, I need to maintain a $5k balance in order to not incur fees, but the benefit to me is a free credit card that gives me points which easily adds up to a free flight every year. So that is a fairly good benefit to have $5k in cash not earning interest. But many people get nothing, and aren't too happy about it. But all the holders of USDT get nothing as well, and don't seem to mind one bit since they just like having access to that digital dollar. Simply brilliant.
