4 ms·

The very same claim was made after the January 2018 bubble burst... Truth is that the hash rate is going up over time[0] and this is not really a problem. There

The very same claim was made after the January 2018 bubble burst... Truth is that the hash rate is going up over time[0] and this is not really a problem. There are also too many misunderstandings in this article for me to bother listing them one by one. 0. https://www.blockchain.com/en/charts/hash-rate https://www.blockchain.com/en/charts/hash-rate

DagAgren 7y ago
Your link shows the hashrate is crashing massively at the moment, you know.
- tryptophan 7y ago
  Crashing back to where it was in 2019?
  - DagAgren 7y ago
    Crashing more in relative terms than it ever has in the history of bitcoin.
- Proven 7y ago
  That's bad enough (doesn't the price follow hash rate?) but other charts - https://www.blockchain.com/charts https://www.blockchain.com/charts - are worse. For example there's no growth in the value of transactions. And that is so because Bitcoin is the same useful (or useless) as it was years ago. The main use case is shuffling of the funds between exchanges to help "the industry" rip off the stupid money. :)
thinkloop 7y ago
It's irrelevant what the hashrate has been, there are a plethora of reasons for it, not the least of which is speculation for future gains. It is straightforward logic that if there comes a time when total compensation for mining is lower than today, then there will certainly, eventually, be less mining, and therefore a less secure blockchain (but possibly still secure enough). If at the time equal security was demanded there would be no choice but to raise fees to incentivise equal mining. But this whole small transaction dream is a foregone conclusion. Even now it's clear that Bitcoin works best with fewer, larger, higher fee transactions. Miner compensation is one reason, but there are many: blockchain size, centralization, latency, etc. PoW blockchains are clearly suited as settlement layers.

DagAgren 7y ago

Your link shows the hashrate is crashing massively at the moment, you know.

tryptophan 7y ago
Crashing back to where it was in 2019?
- DagAgren 7y ago
  Crashing more in relative terms than it ever has in the history of bitcoin.
Proven 7y ago
That's bad enough (doesn't the price follow hash rate?) but other charts - https://www.blockchain.com/charts https://www.blockchain.com/charts - are worse. For example there's no growth in the value of transactions. And that is so because Bitcoin is the same useful (or useless) as it was years ago. The main use case is shuffling of the funds between exchanges to help "the industry" rip off the stupid money. :)

thinkloop 7y ago

It's irrelevant what the hashrate has been, there are a plethora of reasons for it, not the least of which is speculation for future gains. It is straightforward logic that if there comes a time when total compensation for mining is lower than today, then there will certainly, eventually, be less mining, and therefore a less secure blockchain (but possibly still secure enough). If at the time equal security was demanded there would be no choice but to raise fees to incentivise equal mining. But this whole small transaction dream is a foregone conclusion. Even now it's clear that Bitcoin works best with fewer, larger, higher fee transactions. Miner compensation is one reason, but there are many: blockchain size, centralization, latency, etc. PoW blockchains are clearly suited as settlement layers.