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It's fun to watch a market that's actually nearly perfect: no barriers to entry or regulation to capture means that lead time is about the only source of surplu
by bethly 8y ago
It's fun to watch a market that's actually nearly perfect: no barriers to entry or regulation to capture means that lead time is about the only source of surplus and profit consistently trends to zero.
- nostrademons 8y agoWould be nice if that applied to general computing. Margins on AWS are ~90%; that's pure rent that Amazon is capturing because they're the market leader in a small oligopoly. There are startups like Golem [1] that are working on tackling this market, but it seems like they're starting with a small set of verticals, none of which are applicable to anything I need. [1] https://golem.network/ https://golem.network/
- wmf 8y agoOne wrinkle is that mining equipment has been supply-constrained for almost the entire life of Bitcoin and the mining equipment vendors have a huge information advantage over their customers because they know the future difficulty.