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Why a Chinese Bitcoin mining ban is good news: * It kills the narrative that China controls Bitcoin. * It severely diminishes the Chinese state's ability to d
by sekai 8y ago
Why a Chinese Bitcoin mining ban is good news:
* It kills the narrative that China controls Bitcoin.
* It severely diminishes the Chinese state's ability to disrupt the Bitcoin network by commandeering hashpower.
* The Chinese miners will move their operations overseas, leading to higher geographical/jurisdictional decentralization.
* It becomes relatively speaking more profitable for Chinese ASIC manufacturers to directly sell their miners compared to mining themselves. This will diminish their oversized power in the ASIC market and decentralize mining in terms of operators.
* BTC itself isn't banned, OTC demand will stay, causing a premium. This means some mining will likely continue in smaller, less obvious operations outside the reach of the state. Everything about that is healthy for the network.
* The biggest source of Bitcoin blocks won't be behind the biggest firewall of the globe anymore.
* The article mentions a phasing out, so the two-week difficulty adjustment period can more than likely gracefully handle this.
* Although a lot of Bitcoin mining is done with hydropower in China, it also has a significant share of cheap coal-powered mining. This likely makes overall Bitcoin mining greener, hurting the Bitcoin climate change FUD.
- Nursie 8y ago> This likely makes overall Bitcoin mining greener, hurting the Bitcoin climate change FUD. It's not FUD if it's true, which you're implying with the first half of that there sentence...
- sekai 8y agoIt's debatable, most frequently cited articles are bogus with inflated numbers.
- rtpg 8y ago>* The Chinese miners will move their operations overseas, leading to higher geographical/jurisdictional decentralization. I feel like you really don't get the... particulars of being a Chinese national, on multiple levels
- throwaway32366 8y agoThere are many places in Central Asia, Southeast Asia, Eastern Europe, and probably most of Africa where a Chinese national can easily get a business visa to set up shop there. Heck, given the amount of money invested, a visa for a first world country might be possible too.
- tradertef 8y agoAnyone can buy a real estate property for $250,000 and get citizenship in Turkey. This includes Chinese nationals as well. https://extraproperty.com/turkish-citizenship-buying-property/ https://extraproperty.com/turkish-citizenship-buying-propert...
- asgionio1234 8y ago>This likely makes overall Bitcoin mining greener, hurting the Bitcoin climate change FUD. I dislike the fact that Bitcoin fans have commandeered the term "FUD". The term originally referred to coming out of Microsoft, but you are using it to refer to well-intentioned people saying things that are true. It's the same as what happened to the term "fake news." Bitcoin has some very serious problems. We all know what they are. If you keep pretending they don't exist, you only hurt your own credibility.
- ryanlol 8y agoBut the whole bitcoin climate change story isn’t true, the people making the claims may very well be well intentioned, they just aren’t correct.
- jsutton 8y ago
- coralreef 8y ago* It becomes relatively speaking more profitable for Chinese ASIC manufacturers to directly sell their miners compared to mining themselves. This will diminish their oversized power in the ASIC market and decentralize mining in terms of operators. Don't see this equation actually changing. Like you mentioned, operations will just be moved elsewhere. ASIC manufacturing and mining "tech" will still be hoarded and profit maximized.
- arcticfox 8y agoThe funny part about Bitcoin news is that for supporters, anything is good. "This is good for Bitcoin", as they say.